Listing, Trading Shares of Vaneck Bitcoin Trust Disapproved

The U.S. Securities and Exchange Commission on Friday rejected rule changes that would have allowed the listing and trading of the VanEck bitcoin exchange traded fund.

In March, the Cboe BZX Exchange, Inc. filed a proposed rule change to list and trade shares of the VanEck Bitcoin Trust under BZX Rule.

The Commission applies the same standard used in its orders considering previous proposals to list bitcoin-based commodity trusts and bitcoin-based trust issued receipts, that it must be designed to prevent fraudulent and manipulative acts and practices,” the SEC said in its disapproval order.

The Commission concludes that BZX has not met its burden. The move by the SEC comes after the regulator has twice delayed a decision on whether to approve an application.

VanEck filed its proposal at the end of 2020, with Cboe BZX agreeing to act as VanEck’s exchange partner earlier this year.