Connect with us

Bitcoin

Bitcoin [BTC]: SEC Commissioner says that Bitcoin ETFs might eventually be approved

Biraajmaan Tamuly

Published

on

Bitcoin [BTC]: SEC Commissioner says that Bitcoin ETFs might eventually be approved
Source: Pixabay

The Bitcoin ecosystem has been continuously meddling around with rumors regarding the approval of Bitcoin ETF for the past year.  With the news which surfaced recently regarding the SEC initiation into research to develop a new tool to monitor risk, now an SEC Commissioner is predicting that a Bitcoin ETF will eventually get the approval.

The news has hit the crypto universe via a long interview discussion between SEC Commissioner Robert J Jackson Jr and Congressional Quarterly (CQ) which was scheduled to be published on February 11, 2019. However, a Twitter account holder named Drew Hinkes got hold of the interview draft, which was shared across the social media network.

Source: Twitter

According to the interview, Robert J Jackson Jr, a lone Democratic Commissioner at the agency, said that several crypto-based ETF applications were up for consideration to get the SEC approval but it was not mentioned in the interview draft which specific application stands the highest chance of getting the particular approval.
He also stated:

“A fund based on bitcoin will eventually pass muster at the Securities and Exchange Commission despite that agency’s actions to deny all previous efforts.”

Today, a handful of other bitcoin ETFs continue to seek SEC approval. Last week, Cboe re-submitted the bitcoin ETF proposal from VanEck and SolidX. That ETF, initially proposed last summer, is seen as the most promising ETF in the industry. The deadline for approval was initially set in February. Due to the government shutdown, however, the ETF was re-submitted, pushing its deadline back until later this year.

Currently, a bunch of other bitcoin ETFs have continued to seek the highly desired approval. VanEck and SolidX combined proposal of the bitcoin ETF was submitted about a week ago through CBOE. The ETF was actually proposed last summer itself and the deadline for approval was set for February of 2019. However, due to the government shutdown, the deadline was pushed back and the ETF was re-submitted to the SEC.

Bitcoin ETFs are not a new form of proposition pushed forward as several ETF denials have occurred due to the SEC’s fears of market manipulation and unreliable price discovery in the industry. However, Bitcoin ETFs have started to fight the SEC’s consensus notion that Bitcoin markets can be manipulated. Jackson said in the interview:

“The BZX exchange argued that bitcoin markets are inherently difficult to manipulate. But the SEC found that the proposal doesn’t establish the kind of surveillance common in stock markets, and the commissioners also were concerned with the lack of liquidity in certain bitcoin markets, their trading volume and the ability to safeguard proprietary information.”





Subscribe to AMBCrypto’s Newsletter




Follow us on Telegram | Twitter | Facebook



Biraajmaan is an engineering graduate who is exploring the ever-changing crypto verse while traversing his passion for cryptocurrency news writing. He is a Chelsea fan and a part-time poet and does not hold any value in cryptocurrencies yet.

Bitcoin

Bitcoin’s volatility – an indication of growth or regression?

Biraajmaan Tamuly

Published

on

Bitcoin's volatility indicated to be a key aspect of its current success
Source: Pixabay

Market volatility plays a huge role in the financial ecosystem of assets and cryptocurrencies are regularly linked to its predominant effect. Whenever Bitcoin exhibits a rapid price movement in the market, the majority of the critics tagged the digital currency with extreme volatility and state that it would eventually lead to its downfall, since crypto assets cannot be trusted on a long term basis.

This assumption was recently widely questioned as data showed that over the last few months, the volatility rate had actually decreased for Bitcoin but the community continued to talk against the coin’s development solely on the basis of the crash witnessed by BTC after the bull run of 2017.

Pierre Rochard, a bitcoin enthusiast, recently spoke about the situation and stated, that the volatility might actually be one of the reasons why Bitcoin was starting to find prominent success in the market.

It was suggested that Bitcoin had been accumulating value over the years through various implementations and at specific time frames, short-term traders were causing an effect on the price, which would cause the “incidental price surge”. The price surge would then undergo correction and witness a fall but the price would continue to grow at a progressive rate.

The aforementioned reason can be backed by the fact that Bitcoin had indeed outperformed the likes of commodities like gold in the recent market analysis, and it was released that Bitcoin attained more profit in the long-term returns and risks asset trade in comparison to the S&P 500.

A recent data also exhibited that since 2013, any investment that included 5 percent Bitcoin to 95 percent fiat currency gathered more returns and lesser risk than the S&P 500; which also witnessed losses in 2017.

Twitter user @1Mark Moss indicated that Bitcoin was growing at it’s natural growth rate and stated,

“The volatility is the difference between perception and reality. And the reality is BTC continues to progress, just not as fast as the perception makes it seem sometimes… just part of the natural evolution.”

However, another user @JordiMorris1 explained that the people had more to do with the volatility and anything else. He said,

“The relationship of people towards Bitcoin is volatile. Bitcoin is predictible by nature, its production is stable independently of how crazy people go about Bitcoin. No sense to blame on Bitcoin.”





Subscribe to AMBCrypto’s Newsletter


Continue Reading

Trending