Although Bitcoin briefly surged above the $28,000 mark on Tuesday following the news of Grayscale's victory against the SEC, the market lost most of those gains by Thursday with the SEC delaying announcements for all new ETF applications in the US. The Nasdaq Crypto Index (NCI) was down 0.8% over the last week of August with Bitcoin (BTC) correcting 0.6% and Ether (ETH) falling 1.0%. Although August marked the third red month for crypto in 2023, the NCI is still up 50% year-to-date.

 

Grayscale wins SEC lawsuit for Bitcoin ETF review

The District of Columbia Circuit Court of Appeals has reversed the SEC's decision to reject a review of Grayscale's application for a spot bitcoin ETF. The court argued that the SEC's reasoning "lacked the necessary level of thoughtful consideration." This ruling doesn't compel the SEC to approve the application, but it mandates a reevaluation without using the same grounds for denial.

 

SEC Delays Spot Bitcoin ETF Decision for All Applicants Including BlackRock, Fidelity

The SEC has extended its decision-making timeline by 45 days for the proposed spot bitcoin ETFs from BlackRock, Fidelity, Bitwise, VanEck, Valkyrie, Invesco/Galaxy, and WisdomTree. While the SEC has postponed its decision, analysts are growing optimistic that the SEC's resistance may not last much longer.

 

Elon Musk's X Has Licenses in Multiple U.S. States to Process Payments, Including Crypto

X, formerly known as Twitter, obtained a currency transmitter license  to allow for crypto related services in the State of Rhode Island. This piece of news confirms the ongoing trend of crypto integration into traditional services, easing the use of crypto as a means of payment by the 60+ million users of X in the US.

 

From Hashdex’s CIO: “Hello old friend: Volatility returns (and some thoughts on the Grayscale news)”

Our CIO Samir Kerbage discusses the recent sharp drop in Bitcoin's price and its return to volatility after the court decision regarding Grayscale's bitcoin ETF filing. Samir comments on how low volatility periods historically yield higher one-year returns for investors and Bitcoin's growing influence and its potential as a long-term investment.

 

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