SEC Chases Billions out of US Economy by Dragging Feet on Bitcoin ETF
Under Jay Clayton's watch, the SEC is chasing billions of dollars out of the U.S. economy by stalling on a bitcoin ETF. | Source: REUTERS / Brendan McDermid
Many cryptocurrency investors and entrepreneurs have anxiously awaited a green light from the U.S. Securities and Exchange Commission for the first bitcoin exchange-traded fund (ETF).
A bitcoin ETF would bring more products to Wall Street and give institutional investors more direct access to an asset class they are clearly very enthusiastic about in 2019.
Crypto capitalists like Cameron and Tyler Winklevoss even say they welcome the scrutiny of the SEC as well as institutional and federal regulation and oversight.
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But the SEC has rejected every bitcoin ETF application it has ruled on so far.
Fox Business has an exclusive interview with U.S. Securities and Exchange Commission Chairman Jay Clayton, in which the SEC chair defended his position on cryptocurrency.
Clayton says he is not against digital currencies but has concerns over the potential for manipulation and wants to ensure investors are protected.
The SEC chair also says:
What Im concerned about at the moment is if it can be reasonably demonstrated that the underlying trading is generally not manipulated, its happening on reliable venues with good rules and that custody is something we can feel comfortable about.
A reliable venue with good rules, you say?
Thats an excellent description of the Bitcoin blockchain and the underlying hardware infrastructure and software protocols to verify, maintain, and update the blockchain.
These qualities are in fact among bitcoins key selling points as an alternative form of money.
That the blockchain is a reliable venue with good rules is what has given the digital money minted by people running a homespun open source code project on their computers a total market valuation of tens of billions of dollars.
Those tens of billions of dollars feel quite comfortable about the reliability of the venue where many of them are parked and through which others flow.
And that the rules are good. But not only the rules. The software architecture that governs enforcement of the rules automatically and impartially is dangerously good too.< ...Read full story on CCN