SEC’s Hester Peirce urges crypto-community to ‘walk the regulators through the technology’

The uncertain regulatory climate with respect to the cryptocurrency ecosystem has led to detrimental consequences, with the geofencing of crypto-tokens by Poloniex being a recent example. The Commissioner of the United States Securities and Exchange Commission, Hester Peirce, had previously expressed her fears regarding the delay of the same.
While speaking to Naomi Brockwell in an interview held on the sidelines of Consensus 2019, Peirce acknowledged that “there was room for the regulators to do more” in the space. She had said,
“We need people to come in and hold our hands a little bit – and walk us through the technology”
The Commissioner stated that people have come to rely too heavily on what they perceive as an “SEC seal of approval”. She further urged users in the space to make disclosures for the things they want to trade, keeping in mind basic compliance.
Famously referred to as “crypto-mom” for being the dissenting voice against SEC’s decision to reject an exchange-traded fund [ETF] offering exposure to Bitcoin, she further noted that one of the “best things” that could be done was to try and “encourage skepticism”.
According to Peirce, the recently released SEC guidance was a little overwhelming for people in comprehending securities law. She stated,
“It threw lots of factors onto the paper and then it said to people, all right, go figure out how those should be weighted and that’s a concern because people you know that in some ways generates more confusion about how to weight these things how to figure it out, so I think we’re not thinking always that this is a space where you’ve got a lot of people, who haven’t thought about securities laws and now this is their first interaction with the securities laws and it’s a little overwhelming.”
The post SEC’s Hester Peirce urges crypto-community to ‘walk the regulators through the technology’ appeared first on AMBCrypto.
Source: AMB Crypto

Bitcoin Price May Hit $30,000 in 2019, Fund Manager Explains Why

Coinspeaker
Bitcoin Price May Hit $30,000 in 2019, Fund Manager Explains Why
Jehan Chu, co-founder of Kenetic Capital, predicts that Bitcoin price will reach the $30,000 mark by the end of the year.
Bitcoin Price May Hit $30,000 in 2019, Fund Manager Explains Why

Continue reading at Coinspeaker
Source: CoinSpeaker

Bitwise Presents Bitcoin [BTC] Market ‘Myth-Buster’ Statistical Report to the SEC

Bitwise Asset Management is one of the ETF applicants in the US, that has worked primarily on due diligence this year. In March, it released a report highlighting a grim truth about the cryptocurrency markets: the ‘fake reported volume on Exchanges.’ However, it bore a silver lining to it, as it was revealed that past the fake volume cloud exists a perfectly fine ‘free-market’ of cryptocurrencies.
Bitwise has submitted another report to the SEC (Securities Exchange Commission) suggesting that the trading on ‘selected’ Cryptocurrency Exchanges is small but efficient enough to build an ETF on it.
Also Read: Decoding Bitwise Report – Wash Trading and the “Real 10” Volumes: Expert Opinion
 
Global Presence of Trading of Cryptocurrency Exchanges (Research)
Ten Exchanges with Real Volume
Consistent with its previous report, the new research pointed out that the reported volume on only ten Exchanges was published correctly. All the other Exchanges were reporting fake ‘non-economic’ data to gain ranking on CoinMarketCap. This attracts more customers, and the management charges hefty fees for listing as well. Nevertheless, ‘wash trading’ is non-economic; i.e., it does not affect the price of the asset. 
Arbitrage Trading Between ‘Ten’ Exchanges Mentioned in Bitwise Report
Moreover, the spot Exchanges mentioned in the report are also running a closely watched price environment in which manipulation is not possible because of Bitcoin’s digital nature which provides an opportunity of immediate action which brings the markets to parity again.
“Arbitrage On Exchanges Has Improved Significantly” It also included the fact that, “The fungibility and transportability of bitcoin create a nearly perfect environment for arbitrage between different trading venues.”
Bitcoin Futures Trading
The report also highlighted that Bitcoin Futures Trading market is significant compared to the actual spot trading volume on Exchanges. Moreover, the futures price in most esteemed markets draws their index from these trusted ten Exchanges mentioned above. Furthermore, compared to the actual spot trading volume, the trading volume of Bitcoin Futures is around 30% of the spot volume.
“The CME Futures Price Is Derived From Exchanges That Contribute To The Bitwise NAV Methodology”
Institutional Exchanges that Derive Price from Spot Exchanges
The Exchanges include Bitstamp, Coinbase, itBit, and Kraken. Moreover, it went to establish a global relevance of the price on Exchanges and regulated markets outside the US. Amun AG is a Swiss-based firm that has released four crypto-based Exchange Traded Product on SIX Exchange.
…Every regulated crypto product that has launched –whether in the U.S. or Europe – has drawn prices either entirely from or, in the case of XBT Provider, almost entirely from a subset of the 10 exchanges highlighted in this presentation as “real.”
Bitwise ETF Proposal
The findings above statistical models suggest that the Bitcoin market is healthier and more mature than the common perception. Moreover, according to the SEC guidelines, a small volume doesn’t concern the approval as long as it is secure. The two assurances that SEC needs for ETF approval are:
1) Unique Resistance: That the bitcoin market is uniquely resistant to market manipulation and fraudulent activity
2) Surveillance Sharing: That the listing exchange has entered into a surveillance sharing
agreement with a regulated market of significant size
Also Read: SEC is not Against Crypto ETF – Bitwise Explains
According to this report, Bitcoin markets satisfy both these conditions. Furthermore, the Bitwise ETF will derive its price from the ‘ten’ Exchanges itself.
“We draw prices from 10 crypto exchanges representing substantially all of the trading volume in the spot bitcoin market.”
Last but not least, the report also cited that contrary to popular belief, the ETF would not have as tremendous an impact on the market. While the Bitwise acknowledged the fact that the market could be overwhelmed with the launch of an ETF, it will be absorbed soon by the market.
“Over the course of the year, a spot market that is trading $273 million per day can easily absorb $3 billion in total inflows… Today, those platforms [ETF trading Platforms] have detailed due diligence and approval processes that smooth out asset growth.”
Do you believe that Bitwise has built a strong case for ETF approval the next time around? Please share your views with us. 
The post Bitwise Presents Bitcoin [BTC] Market ‘Myth-Buster’ Statistical Report to the SEC appeared first on Coingape.
Source: CoinGape

Strong Barriers at $8,500, But Bitcoin (BTC) Bulls Are Steadfast

Bitcoin (BTC) stable and ranging
The US SEC delays VanEck Bitcoin ETF decision date by another three months

Bulls are resilience, and after shaking off the $1,000 drop of May 19, Bitcoin is stable and ranging. Even so, any break and close above $8,500 will draw buyers aiming at $10k or higher confirming bulls of early April.
Bitcoin Price Analysis
Fundamentals
That the dreaded crypto winter is finally over, is true. Analysts say fundamental and technical factors are aligning and that will likely lift Bitcoin prices to new highs as prices breach and close above the minor resistance at $8,500.
At spot rates, Bitcoin prices are in range mode. However, it is the reaction of the market to the news that the US SEC will delay their decision on the VanEck Bitcoin ETF by three months to August 2019.
Although they didn’t expound as to why they are taking their time, observers believe it has to do with their requirements of stringent surveillance tools to prevent fraud and other manipulative acts. It is until there is fulfillment of these conditions that the US SEC would be “comfortable” with a crypto investment vehicle where the interest of the investor is top priority, and there is transparency.
Candlestick Arrangements

As it is, and as aforementioned, BTC/USD is in range mode inside May 19 high low–which is bullish. Besides, the failure of prices to drop hours after the SEC delay of VanEck Bitcoin ETF proposal is bullish confirming the strong uptrend two days after bulls bounced back shaking the Bitstamp triggered a liquidation of May 18.
Even so, it is until when prices rally, closing above $8,500 that conservative traders can ramp up on dips with first targets at $10,000 or higher. Because Bitcoin (BTC) is ranging, aggressive traders can load up on dips with targets at $8,500 as in a confirmation of the bull breakout pattern of early April.
Nonetheless, we cannot discount deeper corrections. Assuming bears flow back, any drop below the middle BB or May 17th low at $6,600 nullifies our trade plan since prices may drop back to April 2019 highs or $5,600.
Technical Indicator
Our anchor bar is May 19. Even though volumes are light, any break and close above $8,500 ought to be with high volumes exceeding 25k and 37k of May 11. The same rules apply if BTC slide below $6,600 below the middle BB invalidating our bullish outlook.
Chart courtesy of Trading View. Image Courtesy of Shutterstock
 
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Source: New feedNewsBTC.com

SEC Raises 39 Questions on Bitcoin Markets That Are Potential Deal breakers

The SEC (Securities Exchange Commission) in the US has delayed the VanEck Bitcoin-based ETF approval/disapproval once again. However, a lot of positive outcomes was seen this time around. The Regulators doubts now surround the volume and range of Bitcoin markets, rather than its fundamental nature of being a digital currency.
Also Read: Bitcoin ETF Update: SEC Postpones VanEck ETF But Bitcoin Price Responds Positively
VanEck has moved the ETF proposal as a commodity-based trust share which in this case in Bitcoin. The Commission noted that the decision has been delayed as the regulators are still unsure that the Bitcoin-ETF is
“designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade,” and “to protect investors and the public interest.”
SEC’s Concerns About the ETF
The SEC has laid down an 11 point, 39 questions long concerns that it still thinks can lead to disapproval of the ETF. The primary concerns of SEC included protection against insider trading and manipulation of markets by a single exchange or point in time.
According to the SEC, the Bitcoin market might still be susceptible to manipulation, and it isn’t of a “significant size” yet to deter fraudulent trading activities.
Recently, the Bitcoin Futures contract at Chicago Futures Exchange was discontinued. Moreover, the actual difference in the volume of spot Exchanges and futures contracts and now subsequently, the ETF must be determined as well.
Furthermore, ETF intends to enable trading of actual Bitcoins [BTC], which is significantly different than Bitcoin Futures Contracts. Hence, the effect of each on both is important to understand the underlying price discovery characteristics of Bitcoin.
Let us understand the difference between the types of commodity-based futures to understand SEC’s concerns. Gold and silver are market-based ETFs, i.e., real gold and silver are held in Trusts, and the spot prices determine the ETF price. However, oil-based ETFs rely on the futures market for price determination.
VanEck has proposed that its CboeBZX index will be backed by the OTC markets. According to VanEck,
“the OTC desks have a better measure of the market than any exchange-specific reference price, whether individually or indexed across multiple exchanges.”
Nevertheless, the SEC has doubts over this the OTC markets are small and ‘unidentified.’ They said,
“[OTC] has no formal structure and no open-outcry meeting place? Is the use of a non-public, proprietary index to value holdings based on OTC activity an appropriate means to calculate the NAV of an exchange-traded product (“ETP”)?”
Bitcoin’s market is active 24/7, hence, the SEC also wants to make sure that the network is large enough to deter all manipulative activities even when the ETF markets are closed. The questions on arbitrage included,
“Is the liquidity of the OTC bitcoin market is sufficient to support efficient arbitrage between the price of the Shares and the spot price of bitcoin?”
Last but not least, VanEck has moved the ETF citing its relationship with Gemini Exchange to provide necessary OTC market price. Hence, the SEC is also concerned about the quantum of the volume of trading on Gemini Exchange vs the rest of the world.
The questions are laid down for any interested party who wishes to contribute to clear the concerns. Moreover, it also indicates while Bitcoin is being accepted as an asset, more clarity on the volatility and markets is required for a successful ETF approval.
Do you wish to contribute to the research? Please share your views and findings with us.
The post SEC Raises 39 Questions on Bitcoin Markets That Are Potential Deal breakers appeared first on Coingape.
Source: CoinGape

ETF? What ETF? Bitcoin Shrugs Off VanEck Delay with Instant 5% Gain

A day earlier than many were expecting, another SEC decision on a Bitcoin exchange traded has resulted in a delay. The one that today’s announcement concerned was a proposal that the digital asset space is generally most optimistic for – the VanEck ETF.
Despite the news event being largely expected, the Bitcoin price has responded by gaining more than five percent immediately following the announcement. This has taken Bitcoin back above the $8,000 level.
VanEck ETF Delayed Again, But Nobody Cares
An SEC decision over the approval of a much-anticipated exchange traded fund proposed by VanEck and SolidX has been delayed yet again. Previous delays during the bear market were frequently accompanied by price crashes. However, this has not been the case this time.
Rather than dump the price, the news of the delay has been accompanied with a gain from around $7,800 to over $8,000 in just a couple of hours. Crypto market analyst Mati Greenspan highlighted the price surge via Twitter:

Bitcoin is up nearly 5% since the SEC delayed the VanECK ETF two hours ago.
— Mati Greenspan (@MatiGreenspan) May 20, 2019

Since most of the crypto space was expecting such a delay, many have dismissed the decision as a non-event. With much of the sentiment around the market remaining bullish after early 2019 price rises, some have even stated that the delay could serve as a buying opportunity for investors:

ETF delayed (As expected)Don't think it'll impact the price a whole lot.That said I'm generally hoping & positioned for lower since yesterday.This would be a nice excuse to fill bids lower.
Generally a buying opportunity, not a reason to panic. https://t.co/mn8hqtm9g4
— DonAlt (@CryptoDonAlt) May 20, 2019

The latest delay from the SEC also includes a request for public comment on whether the regulatory body should approve a Bitcoin ETF.
If Bitcoin Gains on a Delay, What About an Approval?
For many, the approval of a Bitcoin ETF by the SEC is like the financial regulator giving the asset class its ultimate blessing. They see it as a catalyst for much higher prices – almost as if the SEC green light would legitimise crypto in the eyes of many.
One Twitter user posted a graph showing what happened when a gold ETF was first introduced. The parabolic upwards price action on gold is clear.

Deadline for the SEC to decide about the VanEck/SolidX Bitcoin ETF expires on Tuesday May 21
My thoughts
– Delay: No major effect
– Rejection: Opportunity to buy dip
– Approval: Image below illustrates what happened after GOLD ETF approval. In other words: instant Market Buy pic.twitter.com/lbIvg3w0SV
— Mounia Rabhi, MSc. (@Mounia_NL) May 20, 2019

The poster also states that the overall supply of Bitcoin being so limited compared to gold should lead to an even more violent upswing than observed in the market of the shiny precious metal following its own exchange traded fund being launched.
Interestingly, potentially negative news events, such as the recent Binance hack and the ongoing Tether scandal have not moved the market in quite the same way they have done previously. This lends support to the opinion of the likes of Tom Lee from Fundstrat and others that the bear market has run its course.
Lee holds that Bitcoin hitting $3,200 in December was the ultimate bottom for the current market cycle and that we are now very much in the beginnings of a bull market. He provides 13 reasons why he believes that the so-called crypto winter is over and consistently higher prices are to be expected going forward.

After a disturbing pullback to ~$6,200, #Bitcoin back >$8,000 further cementing positive trend intact.
As we said a few weeks ago, Consensus 2019 @coindesk was to prove whether crypto winter is over…
…confirmed pic.twitter.com/M8ni4g2YvX
— Thomas Lee (@fundstrat) May 19, 2019

 
Related Reading: JPMorgan Sees Imminent Bitcoin Price Fall; Why It’s Unlikely to Happen
Featured Image from Shutterstock.
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Crypto Industry Reacts to Yet Another VanEck Solid X Bitcoin ETF Delay

A Bitcoin exchange-traded fund or ETF, has become a running joke across the cryptocurrency industry, with each new proposal set forth by various financial industry firms repeatedly rejected or delayed by the United States Securities and Exchange Commission.
The entire market of crypto investors were watching and waiting to see if today’s deadline for VanEck and Solid X’s proposal for a Bitcoin-based ETF would be rejected or approved, or delayed once again. As many expected, the deadline for the proposal has once again been extended by the SEC, further delaying a decision on if an ETF will be approved eventually.
Bitcoin ETF Delayed Once Again, Crypto Industry Yawns At Non-Event News
The potential of a Bitcoin ETF has reared its head quite a few times in recent years. The most recent Bitcoin ETF speculation took the price of Bitcoin towards $10,000 in late July as a proposal put forth by Gemini co-founders Tyler and Cameron Winklevoss.
Related Reading | Why The Next Bitcoin Bull Run Could Eclipse The Last Crypto Bubble 
The proposal was rejected, and the price of Bitcoin fell once again towards $6,000. Around that time, a proposal for a VanEck and Solid X Bitcoin ETF also reached its deadline with the SEC, but the proposal was delayed again and again. Each delay or rejection caused the price of Bitcoin to crash throughout the 2018 bear market.

VanEck Bitcoin ETF delayed. No surprise. https://t.co/MQgAXAtaYg
— Felipe (@PhilCrypto77) May 20, 2019

A government shut down put the proposal – which is said to have the best chance of being approved out of all of the different proposals out there – on ice for some time, but the review resumed weeks ago, and was targeting a May 20 deadline for a decision.

JUST IN: SEC delays decision, issues request for public comment on whether to approve or disapprove VanEck SolidX Bitcoin Trust (PDF) https://t.co/7ub6NM82le
— The Block (@TheBlock__) May 20, 2019

Today has come and gone, but the SEC has once again chosen to delay the proposal set forth by VanEck and Solid X. According to The Block, the SEC has also issued a request for public comment on whether or not the US financial watchdog should approve or disapprove the proposal.

ETF delayed (As expected)Don't think it'll impact the price a whole lot.That said I'm generally hoping & positioned for lower since yesterday.This would be a nice excuse to fill bids lower.
Generally a buying opportunity, not a reason to panic. https://t.co/mn8hqtm9g4
— DonAlt (@CryptoDonAlt) May 20, 2019

While in the past, such news would cause a sharp selloff, the price of Bitcoin has since risen following the news circulating. Also, now that the news had made its way across the cryptosphere, industry analysts and experts are all weighing in on the news that turned out to be a non-event.

VanEck ETF delayed as expected. Non-event.https://t.co/3VCdFpAYCS
— WhalePanda (@WhalePanda) May 20, 2019

Bitcoin has shown much resilience in recent weeks, also shaking off a hack of Binance and the worst Tether FUD to hit the industry yet without as much as a scratch. Instead, the price of Bitcoin continues to climb along the parabolic curve that began with the April rally.

As expected, the SEC has delayed the VanEck bitcoin ETF proposal. Read the order here: https://t.co/OB3TBgVGwg.
VanEck's new deadline is August 19. The SEC can & likely will delay one more time for a final deadline of October 18.
Looks like this ended up the right explanation: https://t.co/bkzeVRt1Hg
— Jake Chervinsky (@jchervinsky) May 20, 2019

The VanEck and Solid X Bitcoin ETF deadline has since been rescheduled for August 19, and has until one more final deadline of October 18 it can push its decision off until.
Will a decision finally be made?

Waiting for a Bitcoin ETF like pic.twitter.com/b5TdyuWCDR
— Crypto Bobby (@crypto_bobby) May 20, 2019

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Source: New feedNewsBTC.com

SEC Commissioner ‘Optimistic’ About Bitcoin ETF, But Delay of VanEck Proposal Most Likely

A Bitcoin ETF (Exchange Traded Fund) approval would enable the US market to predict and trade on Bitcoin prices without actually having to buy and sell Bitcoin [BTC]. The fund would track the price of the underlying asset, which can be Bitcoin alone or a basket of assets including other cryptocurrencies or other equities, bonds or commodities as well.
The Securities Exchange Commission is the regulatory authority that approves or denies a specific request to launch a new ETF on the market. There are more than nine Bitcoin ETF applications pending with the SEC. Moreover, the SEC also received a new crypto-basked (Bitcoin and Ethereum) based ETF application.
Reportedly, the total capital of the US ETF market is about $5 trillion. Even if 1% of the trading moves to Bitcoin, it will effectively increase the market capitalization of Bitcoin alone by $50 billion.
Industry Experts Weigh SEC Options
Jake Chervinsky, an Attorney at Kobe and Kim LLP. had noted on May 17, 2019, that,
“The SEC delayed the Bitwise bitcoin ETF two days ago but still hasn’t made a decision on VanEck. This is unusual: the SEC would normally handle both ETFs at once. The VanEck deadline is next Tuesday. I still think the delay is overwhelmingly likely, but the timing has me curious.”
Also Read: SEC is not Against Crypto ETF – Bitwise Explains
The comments are likely to get the hopes high for any Bitcoin bull. However, according to the filing dates, the deadline for Bitwise was on 16th May, while the deadline for the re-applied Van Eck proposal in 21st May.
The VanEck proposal was withdrawn and re-submitted by the firm itself on 20 February 2019. The deadline for which was a 45-day period which ends on 21st May 2019.
Furthermore, in a recent interview with Ran Neuner from CNBC fast money, Hector Pirce, the SEC Commissioner hinted at a further delay. She said,
“I am still optimistic. Don’t hold your breath. Market manipulation are issues that get a lots of attention at the SEC.”
Hence, the positive outcome for bulls would be a delay in the approval over a complete rejection.
Jake Chervinsky also predicted that there is a 75% probability that the proposal will be delayed and 0.1% probability of an approval. He said in a recent tweet,
“In the past, the SEC has typically bundled together all of its decisions on pending bitcoin ETFs & announced them on the same day… To be fair, the fact that the SEC delayed Bitwise & stayed silent on VanEck could mean nothing at all. He went on to say that, “Bitcoin has been very volatile recently & investigations related to fraud & manipulation have ramped up (like NYAG & Bitfinex). The SEC has no reason or incentive to come out in favor of bitcoin in this environment.”
Also Read: SEC Delays Bitcoin ETF Yet Again, Will It Hinder the Expected Bull Run?
The Bitcoin ETF proposal has been pending the markets for six years since its first application. The SEC has denied and delayed, and all of them until now. Nevertheless, a denial or delay is unlikely to dampen market spirits.
What are the chances of approval according to you? Please share your views with us. 
The post SEC Commissioner ‘Optimistic’ About Bitcoin ETF, But Delay of VanEck Proposal Most Likely appeared first on Coingape.
Source: CoinGape

Bitcoin ETF: SEC tight-lipped on VanEck ETF despite Bitwise’s expected delay, denial on the cards?

May 2019 was expected to be all about the Bitcoin ETF, but the way the markets moved, it was anything but. The king coin’s ascendance over $7,000 and then $8,000 prior to Consensus 2019, a conference touting its own pump, the monumental ETF took a backseat.
Earlier in the week, the US Securities and Exchange Commission [SEC] confirmed the delay of an application for the ETF from Bitwise Asset Management and NYSE Arca. Given that this delay to October of this year was more than expected, what wasn’t foreseen was the lack of immediate decision on the other proposal, the one by VanEck and the CBOE.
The two proposals which aim to provide the infrastructure for a publicly traded Bitcoin product, and aim to bring in capital inflow, both retail and institutional into decentralized currency often are at a common receiving end from the regulators. However, the lack of decision on the second proposal could point to a telling tale.
Jake Chervinsky, a member of the litigation team at Kobre & Kim who has often contributed his legal expertise on the ETF issue, stated that the lack of concurrent delay to the two proposals is “unusual” and “curious.” Based on a ‘normal’ scenario, the delay to bot proposals would be handed out in one go.
He stated:
“The SEC delayed the Bitwise bitcoin ETF two days ago but still hasn’t made a decision on VanEck. This is unusual: the SEC would normally handle both ETFs at once.
The VanEck deadline is next Tuesday. I still think delay is overwhelmingly likely, but the timing has me curious. ”
Commenting on the prospects of the VanEck-ETF decision, given past delays and the Bitwise postponement, Chervinsky veered away from a similar verdict being handed out to VanEck. Because of the separate decision by the SEC, VanEck’s ETF proposal might be “rejected,” according to the lawyer.
Based on his assumptions, the SEC will take the “maximum time allowed by law” to approve the Bitcoin ETF, which for Bitwise-NYSE Arca is on October 13. He added that there is a “14%” chance of a denial, with the odds pointing to a delay, and a very small sliver of “1%” of the ETF being approved.
His follow-up tweet stated:
“I think there’s a chance it gets rejected. I don’t think the SEC will approve the first bitcoin ETF without taking the maximum time allowed by law, so if it’s not a delay, it’s probably a denial. At this point, I’d put the odds at:
– Delay, 85%
– Deny, 14%
– Approve, 1%”
Despite the number of proposals tabled, the final decision is with the top officials of the SEC, who have previously questioned the market manipulation and volatility of the cryptocurrency market. Jay Clayton, Chairman of the regulatory body voiced the same, prior to the earlier delay in March.
In a recent Crypto Trader interview at Consensus 2019, Hester Peirce, a Commissioner at the SEC stated that she was “optimistic” on the BTC ETF but cautioned the industry to not “hold its breath,” because market manipulation is still rampant.
The post Bitcoin ETF: SEC tight-lipped on VanEck ETF despite Bitwise’s expected delay, denial on the cards? appeared first on AMBCrypto.
Source: AMB Crypto

Bithumb resumes services, Ryan Selkis’s FOIL request for XRP II affiliate sales and more

Crypto News – 15 May – Bithumb resumes services, Ryan Selkis’s FOIL request for XRP II affiliate sales and more
Don’t forget to follow us for our daily video#XRPNEWS #bitcoin #BitcoinCash #eosio #EOS @BankXRP #xrparmy @twobitidiot @Travis_Kling #bitcoins pic.twitter.com/3OnBmAyStl
— AMBCrypto (@CryptoAmb) May 15, 2019

Crypto News – 15 May
Erik Voorhees on Bitcoin: The Shapeshift CEO is in the news after he claimed that the world’s largest cryptocurrency couldn’t have moved from $0 to its present price, without bubbles
Read more at https://bit.ly/2LKDf4b
Binance research on Bitcoin: The crypto-exchange’s research wing is in the news after a report by Binance claimed that Bitcoin offered far higher returns than traditional assets
Read more at https://bit.ly/2HrSaLq
SEC on Bitcoin ETF proposal: The United States’ Securities and Exchanges Commission continued to prevaricate, postponing a final decision on the Bitcoin ETF proposal to October 2019
Read more at https://bit.ly/2Hmxkyh
New Milestone for Tron: In more good news for the community, Tron [TRX] surpassed $1 billion in 24-hour trading volume after more than a year
Read more at https://bit.ly/2W1JJzL
Cryptopia writes final chapter: The New Zealand-based exchange that was a major target in a January hack, is in the news again after it entered the liquidation phase and appointed Grant Thornton
Read more at https://bit.ly/2HkERxl
Good news for Bitcoin Cash [BCH]: Bitcoin’s [BTC] average transaction fees soared to a 10-month high while Bitcoin Cash [BCH] showed little change
Read more at https://bit.ly/2LLiTrD
Tuur Demeester on crypto-exchanges: The Founder of Adamant Capital is in the news after he claimed that Bitcoin exchanges and custodians were too big to bail and can fail like pre-1914 gold banks
Read more at https://bit.ly/2Hrj0Dr
 
The post Bithumb resumes services, Ryan Selkis’s FOIL request for XRP II affiliate sales and more appeared first on AMBCrypto.
Source: AMB Crypto

Bitcoin [BTC]: Over 50% of BTC ETF volume will be institutional investors, claims Fundstrat’s Thomas Lee

With a week left to go for the Bitcoin [BTC] ETF to be tabled before the US Securities and Exchange Commission [SEC] once again, several analysts are throwing their hat into the prediction ring. Many analysts have in fact predicted that institutions will lead the charge and buoy the market.
Thomas Lee, Head of Research at Fundstrat Global, is of this opinion. In a recent tweet, Lee predicted that a majority of the volume that the ETF will bring in will be institutional investors, including hedge funds. He added that despite what the market suggests, the ETF “is not necessarily a retail product.”
A publicly traded Bitcoin product such as an ETF will spur a new channel for BTC investments. Hence, Lee suggests that this would be “a big deal” for the collective market. The researcher added that on the retail front, this would “simplify key management.”
His tweet, in full, read,
“I believe >50% of ETF volume is institutional investors (HF, etc) so it is not necessarily a retail product. And similarly, a bitcoin ETF would be a big deal. Especially since it does simplify key management for a retail investor”
Lee’s tweet was in response to Bloomberg’s Joe Weisenthal questioning the motives of the Bitcoin ETF. Weisenthal suggested that the ETF will simply ease the process of buying Bitcoin. Hence, the ETF will serve the same purpose as a Microsoft Corporation [MSFT] ETF, he argued.
Institutional investors have been riding high on Bitcoin’s recent successes, with CME futures experiencing massive growth and Grayscale’s #DropGold campaign in full swing. Further, a recent piece of research by Binance pegged Bitcoin to be the most successful asset in 2019.
Despite the community anticipating the SEC’s decision on May 16, many suspect another delay, rather than a clear-cut yes-or-no decision. The final deadline for the two ETF proposals before the SEC are October 13 and October 18.
Interestingly, to answer Weisenthal’s concerns about the ETF, Gabor Gurbacs, Director of Digital Assets Strategy with VanEck, one of the ETF applicants, replied,
“Additional potential ETF benefits:
– automatic dividend reinvestment
– potentially lower cap gains tax via in kind transactions
– additional liquidity via the AP system
– protections of security status, laws and regulations (1933/1940 Act)
– improved pricing+management standards”
The post Bitcoin [BTC]: Over 50% of BTC ETF volume will be institutional investors, claims Fundstrat’s Thomas Lee appeared first on AMBCrypto.
Source: AMB Crypto

U.S. SEC Delays Its Decision on Bitwise and VanEck Bitcoin ETF Application to May

Coinspeaker
U.S. SEC Delays Its Decision on Bitwise and VanEck Bitcoin ETF Application to May
The U.S. securities regulator continues to remain firm on its decision of not approving the Bitcoin ETF anytime soon. Next window for ETF decision now in May 2019.
U.S. SEC Delays Its Decision on Bitwise and VanEck Bitcoin ETF Application to May

Continue reading at Coinspeaker
Source: CoinSpeaker

Bitwise Bitcoin ETF Decision set for May, BTC Prices Up 2.3 Percent

Bitcoin prices stable but bullish
Bitwise Bitcoin ETF application decision date put off to mid-May

It will be until mid-May when the US SEC decides on Bitwise Bitcoin ETF. Like the SolidX and VanEck application, this ETF is backed by Bitcoins secured by a third party custodian. Meanwhile, Bitcoin (BTC) prices are stable inside Mar-29 high-low as bulls build momentum towards $4,500.
Bitcoin Price Analysis
Fundamentals
For the second time, the US SEC is putting off their decision on whether Bitwise Bitcoin ETF application meets their requirement and ready for investors. By doing so, the asset management firm joins a long list of applicants including VanEck, SolidX, and CBoE a joint application which the community says stand a change of getting the green lights from the US regulator.
Submitting their file in January, the San Francisco firm plans to roll out a physically backed ETF and after 45 days, the SEC was supposed to make their decision tomorrow. However, the regulator says their decision will be made public in mid-May. Bitwise Bitcoin ETF will track the performance of the world’s largest digital asset from the Bitwise Bitcoin Total Return Index. The index draws prices from trusted cryptocurrency exchanges.
Differentiating itself, their Bitcoins will be stored in a cold wallet by an institutional grade third-party custodian for security and accountability purposes. Should the fund check all the requirements then the NYSE Arca shall list the ETF will Bitwise Index Services will be tasked with producing and servicing the world’s first Bitcoin ETF approved by the strict SEC.
Candlestick Arrangement

After weeks of lower lows, this week’s performance is encouraging. Not only will it close the week on a high, adding 2.3 percent but in line with our last BTC/USD trade plan, Bitcoin prices will for the first time closed above a five-month liquidation trend line.
In a typical bullish breakout, such will encourage participation now that prices are stable above $4,000. Besides, bulls of Mar 5 are now live. This is because of  Mar 27-29 upswings thrusting prices above Mar 16. As a result, our short-term longs are valid with targets at $4,500.
Technical Indicators
Despite these encouraging gains, Feb 24 losses are conspicuous. Once there is a high volume break above $4,500 reversing this slide, risk-averse can trade can begin ramping up. Accompanying this break above should be high volumes exceeding recent averages of 6.5k, Mar 29—8k and preferably Feb 18—37k.
Chart courtesy of Trading View
The post Bitwise Bitcoin ETF Decision set for May, BTC Prices Up 2.3 Percent appeared first on NewsBTC.
Source: New feedNewsBTC.com

Top Trending Crypto News of the Week: The Bitwise Report, Bithumb, and Bitcoin ETF Among Major Newsmakers

Key highlights

The bitwise report concludes 95% of the reported volumes in Bitcoin are fake
Bithumb hacked for millions of EOS and XRP
Coindelta exchange succumbs to Indian Government’s lack of crypto regulations
SEC delays Bitwise’s and NYSE Arca Bitcoin ETF Application
Indian Apex court differs Crypto Case hearing on request of the Government

 

 
The Bitwise report concludes 95% of the reported volumes in Bitcoin are fake
This week a Bitwise report literally shook the crypto industry. The report found that 95% of the trading volume in Bitcoin was fake, ginned up through techniques like “wash trading” where a person buys and sells an asset at the same time. The report analyzed 81 exchanges and concluded that the fake traffic was being generated by 71 of them, in order to lure in lucrative “initial coin offerings” and the associated fees, which can run to millions of (fiat) dollars.
Bithumb hacked for millions of EOS and XRP
The world woke to a Saturday with the news of another hack and this time it was Bithumb. The leading exchange faced its second  hack in less than a year and this time the hackers managed to steal 3 million EOS coins and 20 million XRP. The news broke late on Saturday morning (UST) as the crypto entrepreneur and analyst Dovey Wan relayed reports apparently coming from a security firm who were auditing for Bithumb.
Coindelta exchange succumbs to Indian Government’s lack of crypto regulations
Well, the Indian Policy paralysis towards cryptocurrency has taken another exchange down and this time its CoinDelta. It was reported by the founder using the medium channel that the exchange was shutting down operations on 30 March at 2 pm IST. The exchange’s statement on Medium read “It has been really difficult for us to operate Coindelta exchange for the last 6 months. The curb on the bank accounts by RBI has made us handicapped in order to provide seamless deposit and withdrawal services.”
SEC delays Bitwise’s and NYSE Arca Bitcoin ETF Application
The approval for two Bitcoin ETFs has yet again been delayed by the Securities Exchange Commission (SEC) in the US. On 29th March 2019, SEC released a press release of its letter to the Cboe BZX Exchange, Inc., and NYSE Arca and Bitwise citing the designation of a “Longer Period” of time for the pending decision. The notice read “The Commission finds it appropriate to designate a longer period within which to take such action on the proposed rule so that it has sufficient time… Accordingly, the Commission, pursuant to Section 19(b)(2) of the Act, designates May 16, 2019, as the date by which the Commission either approves or disapproves.”
 
Indian Apex court differs Crypto Case hearing on request of the Government
The final hearing of the crypto case at the Indian apex court has now been delayed to July on request of the government. According to a local analyst, this step has been taken as India’s general election are approaching and the voting due to take place in seven phases between April 11 and May 19. The results will be announced on May 23. As per law During election time in India, ‘aachar sanhita’ or code of conduct applies. Thereby no new law can be passed which means that the government is not expected to officially announce any regulation regarding cryptos or others.
The post Top Trending Crypto News of the Week: The Bitwise Report, Bithumb, and Bitcoin ETF Among Major Newsmakers appeared first on Coingape.
Source: CoinGape

Limited Supply Principle stifling cryptocurrency regulatory approval, says CME Chairman Terry Duffy

Terry Duffy, the Chairman of the Chicago Mercantile Exchange [CME], is in the news after he cast doubts on the prospects of a publicly traded Bitcoin asset. Cryptocurrencies backed by real assets like fiat currency would be the only form of virtual currency that would fit the bill under regulatory oversight, he stated.
During a recent interview at FIA’s International Futures Industry conference, Duffy voiced his support for stablecoins backed by real dollars.
Stablecoins like Tether [USDT] are backed one-for-one by fiat and hence, are the ‘best of both worlds.’ They allow users to delve into the cryptospace, enjoying ubiquity and universality of payments while still being tethered to the centralized financial world.
He stated,
“How do we figure out how to get the cryptos in there, but just have them backed up by fiat, and let that work as it is.”
Cryptocurrencies are often seen as just another investment vehicle, where the value of the underlying coin is more important than its use cases. Duffy stressed that the adoption and use of decentralized currency should be of greater concern, than the actual rise and fall of the market.
The CME Chairman added,
“But the argument has gone only to the price of say bitcoin or any other cryptocurrency. No one is talking about, ‘How do I use this asset?”
Publicly traded Bitcoin [BTC] assets, like the much-touted Bitcoin Exchange Traded Fund [ETF] have been in a regulatory shackle for months now. Despite two proposals, the Securities and Exchange Commission [SEC] is yet to give its approval, with many claiming that doing so is hindering the mainstream growth of decentralized currency.
Duffy added that the main reason for the backlash against the ETF was the underlying cryptocurrency’s principle of limited supply. The protocol placed into Bitcoin is that there can only be 21 million BTC in supply, which the market is expected to reach in 2140 when the mining rewards dwindled to 0.
Cryptocurrency proponents often cite this principle as one that balances the market and reduces inflationary pressure. Sovereign currency can be created by the government at any time, which is a fundamental point of opposition within the crypto-community.
In light of this debate, Duffy stated that governments cannot operate unless “they run on a deficit.”
Regulation is the single biggest hurdle for cryptocurrency adoption, something Duffy acknowledged. The cryptocurrency community needs to get the nod from financial watchdogs if they want to break into the forefront of the financial realm, he believes.
Duffy concluded by highlighting the skepticism that regulators have when approaching the topic of cryptocurrencies,
“I do believe that the regulators right now are a little careful about just rubber stamping anything as it relates to crypto.”
The CME group, together with its cross-city rivals, the Chicago Board of Options Exchange [CBOE], set the cryptocurrency market alight by launching Bitcoin Futures in 2017. However, 15 months after the launch, the CBOE decided to delist the XBT contracts for March 2019, allowing the CME group to take over the BTC Futures market.
The post Limited Supply Principle stifling cryptocurrency regulatory approval, says CME Chairman Terry Duffy appeared first on AMBCrypto.
Source: AMB Crypto