Grayscale submitted an amended S-3 filing that includes a cash-only creation model with the U.S. securities regulator.

Crypto asset manager Grayscale has reportedly accepted the U.S. SEC cash-only creation and redemption requirement, making amendments to its spot Bitcoin ETF application, as comes from its S-3 registration statement filed on Dec. 26.

Sticking to the cash creation model means that all new shares in a spot Bitcoin ETF could only be created or redeemed through cash transactions instead of dealing directly with Bitcoin.

Besides the updated filing, the firm had some management changes. Barry Silbert — the CEO of Grayscale’s parent company Digital Currency Group — announced his resignation from Grayscale’s board of directors on the same day. DCG’s chief financial officer, Mark Shifke would substitute Silbert as chairman of the board at Grayscale.

Some crypto enthusiasts believe that could be another company’s step to make sure its spot Bitcoin ETF would be approved by the SEC. Speculations are that Silbert’s ongoing legal troubles might hinder the status of Grayscale’s ETF application.

Namely, the SEC is currently investigating a class action lawsuit against DCG and Silbert, alleging violations of the federal securities laws by DCG’s subsidiary Genesis Capital.

We have earlier reported that the U.S. Securities and Exchange Commission (SEC) has set a deadline for spot Bitcoin ETF applicants to file their final S-1 amendments by Dec. 29 if they wish for their applications to be approved within the first wave of potential spot Bitcoin ETF approvals expected in early January 2024.

On Dec. 23, it was reported that BlackRock had already submitted an updated S-1 for their Bitcoin ETF.