Bitwise bitcoin ETF delayed for another five weeks amidst concerns from the SEC

The Bitwise bitcoin ETF was delayed for another five weeks in a statement from the U.S. Securities Exchange Commission.

It seems the Commission remains unconvinced that bitcoin is sufficiently resistant to price manipulation, along with a host of other concerns.

Following a May 7 amendment to Bitwise's bitcoin ETF application, the Securities Exchange Commission has delayed making a decision for another five weeks to solicit comments from the public.

First filed in January of this year, Bitwise continues to tweak its application to list shares of its bitcoin exchange-traded fund on the NYSE Arca-a subsidiary of the NYSE Group which lists stocks and options.

Bitwise responded to the SEC's concerns with its widely circulated Bitwise report, which found that 95 percent of all cryptocurrency trading is allegedly the result of wash trading.

In a July 2018 response to a request to list and trade shares of the Winklevoss Bitcoin Trust, if the SEC's position remains unchanged, the agency does not agree that bitcoin "Generally is less susceptible to manipulation than the equity, fixed income, and commodity futures markets," as the Winklevoss filing suggests.

Details on the Bitwise ETF. The Bitwise exchange traded fund-which is a type of investment traded on a stock exchange-represents shares of bitcoin held in a trust, a legal entity which is responsible for administering these crypto-assets on behalf of shareholders.

The objective of the Bitwise bitcoin ETF is to broaden access to the crypto-asset to institutions.

To ensure each share is always backed by underlying bitcoin, Bitwise plans to process all share creation and redemption, and accrue all fees, in bitcoin rather than fiat.

Bitwise will price the ETF based on spot prices of 10 bitcoin exchanges which it asserts represents "All of the economically significant spot trading volumes on bitcoin exchanges around the world." The metric discounts over 150 exchanges said to report fake trading volumes.