The U.S. Securities and Exchange Commission (SEC) is taking a second look at the reject Bitcoin exchange-traded fund (ETF) proposal filed by Bitwise Asset Management.

A notice published in the Federal Register, first spotted by CoinDesk, shows the regulator is reviewing the ETF proposal, even though Bitwise reportedly didn’t request the review. Matt Hougan, the firm’s global head of research, told the news outlet it welcomed the opportunity to continue to its dialogue with the SEC.

What triggered the SEC’s review isn’t clear. The ETF proposal was rejected by the regulator’s Division of Trading and Markets last month. In its disapproval order the SEC made it clear it was concerned about potential “fraudulent and manipulative acts and practices.”

The SEC’s rejection Is set to remain in effect until the review is concluded, and unlike a formal approval or disapproval process it has no set deadline. CoinDesk points out the SEC reviewed a bitcoin ETF proposal filed by the Tyler and Cameron Winklevoss family office, and ended up maintaining its decision.

It’s possible an SEC commissioner called for the bitcoin ETF review, as has been done in the past. Commissioner Hester Peirce announced the review of nine reject ETF applications last year, after bitcoin ETF proposals from GraniteShares, ProShares, and Direxion were rejected. The SEC pointed out at the time:

This order disapproves the proposed rule change. Although the Commission is disapproving this proposed rule change, the Commission emphasizes that its disapproval does not rest on an evaluation of whether bitcoin, or blockchain technology more generally, has utility or value as an innovation or an investment.

The status of said review is currently unclear. At the time some in the crypto community claimed an ETF was unlikely until the market infrastructure was ready.

Featured image via Pixabay.