SEC Reportedly Has Qualms About Two Firms’ Crypto ETF Plans
U.S. regulators are reportedly scrutinizing plans by two firms to launch cryptocurrency ETFs.
As Bloomberg News reported on Saturday (May 31), REX Financial and Osprey Funds aim to launch exchange-traded funds (ETFs) that offer staking exposure, allowing investors to reap rewards by pledging tokens that help run the blockchain.
However, the report added, the Securities and Exchange Commission (SEC) has begun to raise concerns that the funds might not qualify as ETFs under securities laws, while the two funds say they have gotten initial SEC registration approval.
According to the report, the SEC wrote Friday to ETF Opportunities Trust — the legal entity that issues various ETFs, including those managed by companies like…
