The Securities and Exchange Commission (SEC) is based on Bitwise Asset Management, VanEck, SolidX, We have postponed the decision again on whether to approve the bitcoin -BTC- ETF-listed mutual fund transaction sought from Wilshire Phoenix.
The reason for the decision postponement is explained in the SEC’s usual phrase as to whether this derivative product meets the requirements from an investor protection perspective. On the other hand, bakkt has finally decided to start trading on September 23, 2019, with the final approval of the U.S. Commodity Futures Trading Commission (CFTC) in bitcoin futures trading. Will Bakkt really have a positive impact on the approval of Bitcoin ETFs such as Bitwise?
The pros and cons of ETF approval depend on market manipulation and other concerns
According to the SEC, the final decision on Bitwise was postponed until October 13, Vanek Solid X on the 18th and Wilshire Phoenix until September 29. As for bitcoin ETFs, SEC Commissioner Hester Peirce said in early 2019 that the timing of the listing was appropriate, but would affect investors in the long term, market manipulation, market monitoring, and He commented that he was concerned about the custodian service.
SEC Chairman Jay Clayton says all of these issues must be resolved before the ETF deal can be approved.
Bitwise submits a report to SEC on inflated deals and other matters Bitwise reports highly detailed market research to the SEC in order to respond in good faith to these issues. Of these, 95% of bitcoin transactions (including other coins) traded daily are reported to be inflated.
The average daily volume of the actual Bitcoin transaction was $273 million to about 28.7 billion yen, but CoinMarketCap reported that it was about $6 billion to 630 billion yen. Matt Hogan, head of bitwise global, said, “The reality is that the fact that the wrong volume of transactions is not news in the cryptocurrency market.
We are the very first company to be known for adopting a comprehensive approach to correcting and quantifying it.”
Bitcoin ETF approval scares a lot of challenges While the SEC is working to create regulations that should be implemented before bitcoin ETFs are approved, it is beginning to look for contractors who run nodes such as Bitcoin and Ethereum (ETH) to monitor risk and improve compliance.
It is an attempt to get involved in the transaction test by SEC itself, to understand the actual situation, and to use it in the creation of regulatory measures. The SEC has rejected or postponed nine Bitcoin ETF listing applications over the past six years.
The first application was the Bitcoin Trust, supported by the Winklevoss brothers. Jeff Dorman, a chief investment officer of U.S. asset management firm Arca, said in July this year, “The lack of authorization of ETFs right now is just a dunk. 81% in 14 days, and even as prices seem to increase during U.S. trading hours, it’s not an equation that could be successfully approved by the SEC in the first place,” he said in a very pessimistic tone.