<\/p>\n
Grayscale CEO Michael Sonnhenshein spoke to CNBC\u2019s Squawk Box on Wednesday on his company\u2019s latest victory in its lawsuit against the Securities and Exchange Commission (SEC).<\/p>\n
While discussing next steps and the possibility of appeal, Sonnhenshein promised that Grayscale\u2019s fees are prepared to drop should its Bitcoin trust successfully convert into an ETF.<\/p>\n
During the interview<\/a>, Sonnhenshein explained that the SEC now has 45 days to request a \u201crehearing\u201d of the case \u2013 an appeal for courts to reconsider a potential mistake from the previous ruling.<\/p>\n \u201cWe really have to be patient and follow the federal rules of appellate procedure here,\u201d said Sonnhenshein. \u201cUltimately, the court will issue a final mandate that will detail the operational next steps.\u201d<\/p>\n<\/blockquote>\n According to the Wall Street Journal<\/a>, an SEC spokeswoman said the agency is \u201creviewing the court\u2019s decision to determine next steps.\u201d<\/p>\n In its ruling, the court determined that the SEC was being \u201carbitrary and capricious\u201d by denying Grayscale\u2019s conversion into a Bitcoin spot ETF while approving Bitcoin futures ETFs, and that its justifications for doing so were \u201cunreasonable<\/a>.\u201d<\/p>\n Besides appealing to the Supreme Court, the agency could approve Grayscale\u2019s application, deny it based on another reason, or withdraw its prior approvals of Bitcoin futures ETFs to remain consistent. After losing another major lawsuit to Ripple last month, the SEC chose to appeal<\/a> the case.<\/p>\n Sonnhenshein claimed that continuing to deny Grayscale\u2019s application would \u201cdirectly violate the SEC\u2019s mandate\u201d by harming Grayscale\u2019s current investors who expect the conversion to occur.<\/p>\n While still unable to provide a specific timeline, Sonnhenshein remains confident that Grayscale\u2019s spot ETF will be approved. When that happens, he says the fund will \u201ccertainly be lowering fees.\u201d<\/p>\n Until now, GBTC has charged shareholders a 2% annual fee. Critics have often argued that this fee is \u201cexorbitant<\/a>\u201d considering existing Bitcoin spot ETFs \u2013 like Canada\u2019s Purpose Bitcoin ETF \u2013 charge a 1% management fee.<\/p>\n Sonnhenshein has previously attributed Grayscale\u2019s high fees to legal costs.<\/p>\n The CEO dismissed concerns that the timing of Grayscale\u2019s potential approval \u2013 during a year when excitement has largely left crypto as a whole \u2013 could impact its performance.<\/p>\n \u201cThe investment community has never been more certain that crypto as an asset class is here to stay,\u201d he said.<\/p>\n<\/blockquote>\n\n
Lower Fees Incoming<\/h2>\n
\n
\nBinance Free $100 (Exclusive): Use this link<\/a> to register and receive $100 free and 10% off fees on Binance Futures first month<\/b> (terms<\/a>).<\/p>\n