The Securities and Exchange Commission stated that deliberations over the next course of action for a proposed exchange-traded fund focusing on bitcoin and carbon credit futures contracts will take longer.
The regulator stated in a filing on Thursday that it would decide by June 24, 2024, about whether to “approve or disapprove or institute proceedings” for the 7RCC Spot Bitcoin and Carbon Credit Futures ETF.
The SEC said that the Commission believes it is appropriate to set a longer deadline for action on the proposal to give itself enough time to evaluate the proposed rule change.
The suggested fund intends to allocate 80% of its resources to Bitcoin and the remaining 20% to “financial instruments, including swap agreements, that provide exposure to Carbon Credit Futures represented by the Index,” as per previous filings.
On Dec. 18, 2023, a little over a month before the SEC approved 11 spot bitcoin ETFs, an S-1 registration statement was filed for the spot bitcoin and carbon credit futures ETF.
The custodian, cryptocurrency exchange Gemini, stated in a statement from December, “The Fund provides investors with an exceptional chance to diversify their holdings by striking a balance between the cutting-edge aspects of Bitcoin and the forward-thinking domain of Carbon Credit Futures.”
Further, it continued that the Fund offers investors a comprehensive, single-trade strategy for digital assets and environmental sustainability by achieving this.