Grayscale Says SEC Unfairly Rejected Bid for Bitcoin ETF

Grayscale said the SEC acted arbitrarily in rebuffing a bid to convert its $12 billion spot Bitcoin trust into an exchange-traded fund. The rejection over the risk of fraud and manipulation in the spot Bitcoin market is "capricious" and "discriminatory" because the SEC has allowed futures-based Bitcoin ETFs and they are exposed to similar concerns, Grayscale said in the opening brief of its lawsuit against the regulator.