In the Press
September 3, 2023

SEC Could Face More Bitcoin ETF Lawsuits: Attorneys (Ignites)

Late last month, the U.S. Court of Appeals for the District of Columbia Circuit ruled in favor of Grayscale in the firm’s bid to convert its $16.2 billion Grayscale Bitcoin Trust to an ETF. “Grayscale is a case where you see the D.C. Circuit, which has the most experience with cases of all the courts of appeals, really accepting no excuses for things that the SEC should have done but failed to do,” Andrew Kim, Appellate and Supreme Court Litigation partner, wrote to Ignites. “If you read between the lines, the court’s message is clear: You can’t just come up with excuses to reach the outcome that you want.” The SEC will face litigation more broadly, as the regulator is looking to finalize a slew of its own rules, said Jonathan Hecht, Complex Litigation & Dispute Resolution partner. “There’ll likely be a spike in litigation against the agency as these rules get rolled out.”