Grayscale Investments Suing SEC After Its Bitcoin ETF Rejected1

Grayscale Investments said it had sued the US Securities and Exchange Commission after the agency rejected a bid to convert its Bitcoin trust into an exchange-traded fund.
Chief Executive Officer Michael Sonnenshein tweeted that Grayscale was suing the regulator and the company said it had filed a lawsuit in US Court of Appeals for the D.C. Circuit.
The SEC on Wednesday denied the company’s application to convert its Grayscale Bitcoin Trust into the first ETF based on the world’s biggest cryptocurrency. The regulator found that the plan by NYSE Arca to list the product didn’t do enough to prevent fraud and manipulation.
That was their main threat all along. They would instantly pull up an lawsuit if it hit rejected and they have the right for it as the SEC does not have any real reason for the rejection.