Respondents Urge SEC Not To Open Bitcoin ETF
Some respondents published their opinions on the SEC official website concerning the permission to open a bitcoin ETF. Most people do not support this.
Since late February 2019, the SEC has been considering an application from VanEck and SolidX, which propose to change the rules of the Chicago CBOE trading platform for opening bitcoin ETF. All interested persons can express their opinion starting from February 13.
To date, seven comments have been posted on the SEC website, and six of them are making strong recommendations not to approve the VanEck and SolidX application.
The only positive feedback was given by the respondent Sami Santos, based on SEC’s previous rationale for rejecting other ETF applications. These stated that an investor, buying bitcoins on unregulated exchanges, could lose his investments.
Santos points out that VanEck offers insurance to cover potential losses, and the opening of the ETF will lead to greater market security, trust from large depositors, as well as transparency in asset storage.
Negative reviews are mainly focused on the fact that BTC does not represent value, the value of the crypto is subject to considerable fluctuations, and there is a lot of manipulation on the cryptocurrency market. One of the respondents suggested that the SEC should wait.
As previously reported, the London Stock Exchange (LSE) added a blockchain ETF of the American company Invesco to the listing.