Grayscale, a16z And CCI Push SEC To Preserve Existing ETF Classifications
TL;DR
- Grayscale, a16z and CCI urged the SEC to preserve existing classifications and avoid blanket restrictions for novel ETFs and exchange-traded products.
- a16z wants product-specific reviews, coordinated registration and listing processes, and predictable timelines, while Grayscale and CCI support optional confidential pre-filing discussions.
- The groups broadly oppose sweeping changes, but disagree on ETF terminology, with a16z favoring a legal-definition approach and Grayscale emphasizing economic characteristics across different product structures for investors.
Grayscale, Andreessen Horowitz and the Crypto Council for Innovation are urging the U.S. Securities and Exchange Commission to preserve existing fund classifications as it considers rules for a new generation of exchange-traded products. Their letters, dated August 31, arrived near the end of a 60-day consultation on so-called novel ETFs. The shared concern is that a broad regulatory category could impose unnecessary restrictions on products whose risks differ substantially. All three opposed classification changes that could automatically push products holding non-securities into the Investment Company Act framework simply because regulators consider them novel. That distinction could shape future digital-asset product applications significantly.
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