After considerable anticipation, The SEC has decide to reject the request from the Winklevoss twins to launch a Bitcoin ETF. Bitcoin is down modestly on the news…
The SEC rejected the application because it wasn’t convinced that the market would have adequate surveillance and follows the decision in January for two companies to pull their applications.
Bitcoin is down around 0.5%…
What we would note is that Bitcoin is down very modestly in the news – something that would likely have crashed it just a few months ago.
More than likely, this is why the cryptocurrency is not reeling, as Bitcoin pioneer Charlie Shrem notes…
This is old news, While I think Cameron and Tyler would have run one of the better ETF’s, The new ETF excitement came from the fact that CBOE filed their own Bitcoin ETF. The SEC would rather grant an ETF to an existing institution over a new one. https://t.co/xLHZDLo9O5
— Charlie Shrem (@CharlieShrem) July 26, 2018
However, concerns remain…
you’re probably right but it doesn’t change the fact that a bitcoin ETF under control of CBOE or Gemini still faces main SEC concerns of cash market manipulation and inability to monitor and/or regulate the global spot market the ETF would be based on
— Matt Leising (@mattleising) July 26, 2018
And specifically, here’s why…
SEC points to following paragraph as key in its 92-page decision rejecting ETF.
TL;DR: We’re not anti-bitcoin — but risk of market manipulation remains too high for ETF pic.twitter.com/FMsH8SlNFc
— Jeff Roberts (@jeffjohnroberts) July 26, 2018
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