A major legal battle between digital asset giant Grayscale Investments and the US Securities and Exchange Commission (SEC) over a rejected application to convert Grayscale Bitcoin Trust (GBTC), a large BTC fund into a spot exchange-traded fund (ETF) that can take even two years or longer.
“We can’t be sure of the timing, but based on how long federal litigation tends to last – including briefings, oral arguments and final court decisions – there are often It can take anywhere from twelve months to two years, but could be shorter or longer,” said Craig Salm, Grayscale’s Chief Legal Officer (CLO), in a Q&A section published by the company.
The litigation began when the company said it filed a Request for Review within an hour of receiving the SEC’s decision.
Additionally, according to Salm, if Grayscale loses at the appellate level, they will have two options:
Looking for an “en banc” hearing where instead of three randomly selected judges making decisions on our case, the entire team of judges in D.C. Circuit will consider to make the final decision, or appeal to the Supreme Court of the United States.
“If Grayscale or the SEC loses, either party can appeal the decision to the Supreme Court. If the Supreme Court decides to continue the case, we will proceed with the same proceedings as at the appeal level. review: petition for reconsideration, briefing, oral argument and final decision,” the CLO explained.