SEC Chair Discusses Court Rejection and Ether ETFs
Gary Gensler says the SEC is seeking to protect investos and provide them with transparency and security
June 26, 2024 09:44 AM
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TL;DR SEC Chair Gary Gensler addresses the federal court's rejection of new regulations aimed at hedge funds and private equity firms and provides updates on the SEC's review of Ether-based ETF applications.
Gensler's Interview with Bloomberg
In his latest interview with Bloomberg, Gary Gensler revealed the SEC's stance following the Federal court's rejection of a new regulation and the controversy surrounding the delay in Ether ETFs.
Earlier this month, a federal court struck down a new regulation imposed by the U.S. Security and Exchanges Commission (SEC).
The regulation aimed to force hedge funds and private equity firms to disclose more information about their fees and expenses to investors.
A three-judge panel from the 5th U.S. Circuit Court of Appeals in New Orleans made the decision, ruling that the SEC had overstepped its authority.
Gensler's Response
SEC Chair Gary Gensler addressed the court's ruling during an interview at the Bloomberg Invest event in New York. He emphasized the importance of adhering to legal boundaries and court interpretations.
"We do everything within the law and how courts interpret the law," Gensler stated. He also said the agency may change tactics after the court's ruling.
Gensler highlighted that the SEC's goal was to ensure transparency for investors in hedge funds and private equity firms.
"At the core, what we were seeking to achieve as a commission was greater transparency to investors, not to the public but to the investors in these funds," he explained.
Are Ether-based ETF Applications Coming in Summer?
Gensler also provided an update on the SEC's review of applications for U.S. ETFs investing directly in the Ether token. He noted that the review process was "going smoothly" but did not specify when a final decision would be made.
Companies like VanEck, ARK Investment Management, BlackRock Inc., and Fidelity Investments are among those awaiting approval for their Ether-based ETFs.
Meanwhile, the review of Ether-based ETF applications continues without significant issues, suggesting a potential green light shortly. With the news, Ethereum's price rose to $3,412 after a 3.26% increase in the last 24 hours.
Ethereum's price rose to $3,412 after a 3.26% increase in the last 24 hours. However, it is currently priced just under $3,377 at the time this article was written.
Also Read: U.S. Congressman Matt Gaetz Proposes Bill to Accept Bitcoin for Federal Tax Payments
