The US Securities and Trade Fee (SEC) Chairman Gary Gensler is “taking traders hostage” together with his insistence to disclaim spot Bitcoin (BTC) exchange-traded merchandise (ETPs) and exchange-traded funds (ETFs) to launch within the US, the influential Wall Road Journal mentioned in its editorial piece.
Wall Road Journal’s Editorial Board writes that they’re “agnostic on crypto, together with bitcoin,” however that traders nonetheless needs to be allowed to “make investments at their very own danger.”
“Crypto traders have taken large losses not too long ago, however the market is evolving and monetary companies wish to serve traders who just like the innovation,” the Editorial Board wrote.
The piece additional argued that the existence of spot Bitcoin ETPs and ETFs might cut back volatility and deepen liquidity within the Bitcoin market. That is seemingly as a result of these funds keep away from the potential for hacks and the lack of non-public keys, which might assist convey in additional institutional traders.
It added that issues raised by the SEC that the BTC market is susceptible to manipulation are seemingly exaggerated. “[…] the USD 390bn bitcoin market is the deepest and most mature of all cryptocurrencies. It will be exhausting for an investor to sport,” the authors mentioned.
“Crypto markets can resemble the Wild West. However that is no motive to reject spot bitcoin ETPs, which might be tightly regulated by the SEC. Mr. Gensler’s blockade is counter-productive if his purpose is to guard traders,” the editorial piece concluded by saying.
The notable pro-Bitcoin stance from the Wall Road Journal – one of many world’s most influential enterprise newspapers – was highlighted by Anthony Scaramucci, crypto investor and founding father of funding administration agency Skybridge:
The remark from the influential newspaper comes after the crypto-focused asset supervisor Grayscale was not too long ago denied to transform its present Grayscale Bitcoin Belief to a spot ETF, a transfer lengthy deliberate by the asset supervisor. Following the rejection, Grayscale went on to sue the SEC, whereas calling the company’s choice “arbitrary” and “discriminatory.”
The SEC has already allowed a number of bitcoin futures-based ETFs to launch, even these these are arguably extra advanced and costly merchandise for traders. Moreover, a number of spot-based Bitcoin ETFs and ETPs are already traded in Europe, Canada, and Australia.
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Study extra:
– Optimism Rises Towards Grayscale’s Bitcoin ETF Application as Star Legal Counsel Joins Team
– Grayscale Finds Rising Interest in Bitcoin as it Pushes for Spot BTC ETF
– Regulatory Fog Remains as SEC Chief Doesn’t Mention Ethereum as a Commodity, Does Not Say Bitcoin is the Only One Either
– SEC’s Gensler Wants Crypto Exchanges, Lending Platforms to ‘Come and Work with’ Regulators
– SEC Looks Set to Unleash Stablecoin Crackdown in US
– a16z Lays out Regulatory Proposal as SEC Chief Focuses On Consumer Protection
– Ethereum Futures ETF May Come Before Spot Bitcoin ETF – Analyst
– Not Ideal, but ‘Better Than Nothing’ – Market Awaits ‘Paper Bitcoin’ ETF
