Comment Text:
Bitcoin is an asset class that would greatly benefit from a spot ETF. Now that many of the no-KYC exchanges that were doing massive volumes have been curtailed, now is the appropriate time to consider approving a spot ETF.
However, the Grayscale application should be denied. The product is an abomination in its current iteration and they are desperate to hold off angry investors by bullying the CFTC into bailing them out of their hugely negative NAV. Additionally, other products that were likely securities were inappropriately using this product to try and guarantee returns. An approval of this submission would bail out investors in a broken instrument, bail out the applicants who will likely face outraged investors and be a detriment to a much better Bitcoin Spot ETF application being approved. I say let Barry lay in the bed he created and set your sights on approving a far more fair and equitable application that isn't trying to bail out a failing instrument. Grayscale has made no attempt at lowering their outrageous administration fees in order to reverse the rapidly growing negative NAV discount and are counting on the CFTC to fix all their issues. An approval of their application would likely harm non-GBTC investors as arbitragers secure profits upon an approval.
A rejection would be a just response for Barry thinking an ETC and ZEC trust were good ideas and not just ways to rip off investors.
