The U.S. Securities and Exchange Commission (SEC) has postponed a judgment on multiple proposals for spot Bitcoin exchange-traded funds (ETFs), including one from BlackRock, due to an impending government shutdown.

The SEC also delayed the spot Bitcoin ETF applications of Invesco, Bitwise, and Valkyrie, and Bloomberg ETF analyst James Seyffart expects the applications of Fidelity, VanEck, and WidsomTree to be delayed as well.

The most recent delays occurred two weeks before the anticipated second deadline date for many applicants, who had expected to hear from the SEC by Oct. 16-19.

According to Seyffart, the timing of the delays is tied to the predicted U.S. government "shutdown" on Oct. 1, which will disrupt the country's financial regulators.

Both chambers of Congress, the House and Senate, have failed to reach an agreement on several financing measures to fund government operations, and Congress must pass 12 distinct full-year funding bills by Oct. 1 to avert a government shutdown.

When the first deadline for spot Bitcoin ETF applications approached in late August, the SEC postponed a slew of them.

Meanwhile, the third set of deadlines for the seven firms is slated for mid-January, and it is possible that they will be pushed back. The SEC must reach a final decision by mid-March at the latest.

Sources:

https://cointelegraph.com/news/sec-delays-spot-bitcoin-etfs-blackrock-bitwise-valkyrie-invesco

https://www.sec.gov/files/rules/sro/nasdaq/2023/34-98610.pdf

https://www.sec.gov/files/rules/sro/cboebzx/2023/34-98613.pdf

https://www.sec.gov/files/rules/sro/nysearca/2023/34-98607.pdf

https://www.sec.gov/files/rules/sro/nasdaq/2023/34-98606.pdf