In a significant development for the cryptocurrency industry, the D.C. Circuit Court of Appeals has handed Grayscale a victory in its long-standing dispute with the U.S. Securities and Exchange Commission (SEC). The court has mandated the SEC to revisit its earlier decision to reject Grayscale’s application to convert its Grayscale Bitcoin Trust (GBTC), worth approximately $17 billion, into a spot ETF.

The conclusion of this case on Monday is the culmination of a prior court ruling two months ago, where the SEC’s decision was deemed “arbitrary and capricious.” Given that the SEC opted not to contest this initial judgment, Monday’s formalization was expected by industry insiders.

With this ruling, the pressure now mounts on the SEC, which could potentially approve Grayscale’s proposal or deny it based on different criteria. Moreover, the regulatory body is currently juggling multiple spot bitcoin ETF applications from other financial powerhouses, including BlackRock, Fidelity, and Franklin Templeton.

Reflecting on the court’s judgment, Grayscale’s spokeswoman, Jennifer Rosenthal, expressed optimism. She commented, “GBTC is operationally ready, and we intend to move as expeditiously as possible on behalf of our investors.” The cryptocurrency community awaits the SEC’s next move with bated breath.