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Showing posts with label exchange traded fund. Show all posts
Showing posts with label exchange traded fund. Show all posts
Bitcoin Exchange Traded Fund had been considered by the United States Securities and Exchange Commission but it looks like there would be further delay in making final announcement for it. Here, we are speaking about Bitcoin ETF or the Exchange Traded Fund from VanEck.


Cryptocurrency Market Instabilities

As some of you may be aware of the situations that have hit the cryptocurrency world in recent days, it was indeed a decision to be made by the concerned authorities. In addition to this, 2018 is almost to an end due to which decision on VanEck’s ETF has been deferred to the 27th of February 2019.

Also Read: 

Upgrades in Cryptocurrency Market must be done before Approval of Bitcoin ETF


In a statement released on 6 December 2018 by U. S. SEC, it clearly mentioned reasons for the delay, one of them being that anything which relates itself to cryptocurrency has to be thoroughly checked for any loop holes. It is only when all facts fall in to place shall the authorities approve or may even disapprove the ETF put across by VanEck.


Another surprising factor we may look at is: $BTC ETF has been in pending list for quite some time as Securities and Exchange Commission from the United States had rejected ETF by VanEck (Investment Firm) apart from SolidX (Blockchain Company) a few times in 2018 as well.

Will Bitcoin Exchange Traded Fund get US SEC’s Nod?

As per the Director of Digital Asset Strategy of VanEck, there does not seem to be any reason for U. S. Securities and Exchange Commission to delay the decision of ETF further.

Gabor Gurbacs, Director of Digital Asset Strategy, VanEck further went on to add that the team is confident of having approval of US SEC this time.

Stringent rules have taken the positions resulting in numerous Bitcoin ETF Applications being rejected by the United States SEC on the grounds of preventions. These preventions mainly connect to fraud as well as market manipulation (seen greatly now a days).

The Future

In case every detail goes as planned then US SEC shall ensure of having Bitcoin Exchange Traded Fund by VanEck and SolidX on CBOE or the Chicago Board Options Exchange. When we consider Securities and Exchange Act, then SEC has got about 240 days in which the authority can understand any ETF Application in detail before making a final call.


Keeping this Act in mind, US SEC has got time till the 27 February 2019 to make a decision on whether to allow BTC ETF coming in to action or not.

It may also be recalled that there were 9 Bitcoin ETF Applications in total that SEC rejected in the month of August. Most of them were in rejected state as they did not comply with the rules laid down by the authorities.

Also Read: 

What Jay Clayton has to say about Cryptos, Bitcoins and ETF?


There are other firms such as Gemini who believe to get through the ETF applications this time round. Nevertheless, time apart from the features of an ETF would decide the fate of a BTC Exchange Traded Fund to be listed or not. Until then it is better that we follow rules and stay in good books of the authorities.
Jay Clayton, Chairman of U. S. Securities and Exchange Commission has indeed pointed out some of the key features that the Chairman thinks benefitting to the current situation of Cryptocurrency market and the world revolving around cryptos especially Bitcoins, a cryptocurrency that has been quite volatile in the past few weeks specifically.


Bitcoin ETF (Exchange Traded Fund) to Take Some More Time

Recently we had reported that the Chairman of Securities and Exchange Commission from the U. S. is pondering over having an exchange traded fund in some time. However, for this to become a reality, a lot of security features are to be looked at carefully before finalizing any aspect because it is without any doubt going to have effects at a later stage as well.



Initial Coin Offering Start-ups Must Check with SEC at the Earliest

All the ICOs or the Initial Coin Offerings if checked with the U. S. Securities and Exchange Commission quickly then there would not be any penalty put on these ICOs. Hence, it is advised that start-ups check with SEC beforehand rather than inviting trouble at their door step.


Already two start-ups have been fined or you may also say issued ‘civil penalties’ by SEC as they had not registered in a correct manner as it was required to.

Happy to Help: Yes, Jay Clayton, the Chairman, made it pretty clear that it did not actually have any kind of trouble to assist crypto startups. However, these start ups have to be in the United States only.
Another thing to be looked at carefully is the fact that these start-ups may indeed have to check for a method to ascertain a fact: ‘get in compliance with the law’. Some people think that doing so (‘get in compliance with the law’) might be a bit difficult as well. On the whole if all rules are followed then there is not going to be any kind of trouble whatsoever (only when rules are followed).

Regulated Exchanges are need of the Hour

When we look at the current picture, we can see that Cryptocurrency exchanges now a days are never in the regulated format. Hence, problems sprung up every now and then. Issues that these crypto exchanges face include ‘price manipulation’.

Therefore, as a result and as an answer to this, Jay Clayton felt that it would be a plus point to have ‘regulated exchanges’. With regulations of exchanges, price manipulation activity would also come down. Price manipulation is one of those culprits that is eating away at Cryptocurrency exchanges thereby leaving investors with confused questions.

The other side of the coin hints at: will Bitcoin be one of the leagues here? While some experts believe to a great extent that it would be next to impossible to have Bitcoin regulated with the way it has grown over the years.

It is now to see what would happen to the crypto world with the United States Securities and Exchange Commission taking center stage in all aspects.