SEC Accepting Public Comments to Decide the Future of ETF Backed by Bitcoin and T-Bills

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SEC Accepting Public Comments to Decide the Future of ETF Backed by Bitcoin and T-Bills
The proposed rule change will allow Wilshire Phoenix Fund to list shares of ETF on NYSE Arca. SEC has declared that the public can comment on the aforementioned matter within 21 days’ time period.
SEC Accepting Public Comments to Decide the Future of ETF Backed by Bitcoin and T-Bills

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Source: CoinSpeaker

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

SEC delays VanEck Bitcoin ETF decision days after delaying Bitwise proposed rule change

The Securities and Commission Exchange [SEC] has yet again delayed another Bitcoin ETF. This time around, the commission has decided to delay the VanEck Soldix Bitcoin ETF, one of the most awaited exchange-traded funds in the cryptocurrency community.
In the document released today, the exchange has asked for more comments on the proposed rule change and has also asked for further information on queries related to the exchange-traded fund. The commission stated that it has received 25 comments on the proposed rule change so far.  It stated,
“On January 30, 2019, Cboe BZX Exchange, Inc. […] filed with the Securities and Exchange Commission, […] a proposed rule change to list and trade shares of SolidX Bitcoin Shares issued by the VanEck SolidX Bitcoin Trust […] The proposed rule change was published for comment in the Federal Register on February 20, 2019.”
It further stated
“On March 29, 2019, pursuant to Section 19(b)(2) of the Act, the commission designated a longer period within which to approve the proposed rule change, disapprove the proposed rule change, or institute proceedings to determine whether to disapprove the proposed rule change.”
Notably, the main concerns of the commission continue to be market manipulation and the measure taken by the platform to protect its investors. The commission is currently seeking comments on 14 queries pertaining to the VanEck Bitcoin ETF.
This includes the views of the ‘commenters’ on whether the exchange has entered “into a surveillance-sharing agreement with a regulated market of significant size related to bitcoin?”, the relationship between the Bitcoin futures markets and the Bitcoin spot market, with the focus being price formation, the relationship between the Bitcoin futures market and the proposed Bitcoin ETF, and the commenters’ views “of the Exchange’s assertions that bitcoin is arguably less susceptible to manipulation than other commodities that underlie ETPs”.

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

Gabor Gurbacs, Director of Digital Assets Strategy with VanEck said on Twitter,
“The VanEck SolidX #Bitcoin #ETF decision has been postponed by the SEC. We continue the hard work towards better-regulated, safer and more liquid digital assets markets. Bitcoin is too big to ignore. Vires in numeris!”
The post SEC delays VanEck Bitcoin ETF decision days after delaying Bitwise proposed rule change appeared first on AMBCrypto.
Source: AMB Crypto

Crypto Market Wrap: Bitcoin Steady Before ETF Ruling, What’s Expected?

Crypto markets holding onto gains; Bitcoin back at $8,000 prior to anticipated bitcoin ETF ruling, BCH and XRP gaining slowly, Dash pumping. 
Market Wrap
Crypto markets have held on to their weekend gains as Bitcoin remains buoyant. The correction that never was ended in early Sunday trading when BTC surged back towards $8,000. Today market capitalization remains close to $250 billion but a big regulatory decision due tomorrow could create some big moves soon.
Bitcoin revisited its 2019 high of $8,250 a few hours ago. BTC sharply pulled back to just above $7,900 after hitting resistance but has since regained composure and climbed back up to $8k, trading marginally higher than the same time yesterday.
Ethereum is flat and remains just above $250 where it was this time yesterday. ETH has also held on to recent gains but has not seen the doubling in price that its big brother managed since early April.
There is very little movement in the top ten at the time of writing. Only XRP and Bitcoin Cash have added a couple of percent to trade at $0.40 and $408 respectively. The rest are unchanged aside from Cardano which has pulled back marginally.
The top twenty has more red than green during Asian trading this morning. Only Dash is pumping as 10 percent takes it to $165. South Korean markets are getting the majority of Dash trade at the moment as Bithumb is top exchange. Monero has made 3 percent but the rest are in decline.
FOMO: NEXT Spikes into Top 100
Today’s fomo is going to NEXT which has entered the top one hundred with a 45 percent pump. The South Korean exchange Coinbit exchange is creating the fomo for NET. Japan Content Token is also getting a 40 percent spike as it too enters the big 100. These two relatively obscure altcoins are the only ones pumping at the moment.
At the messy end of the table is Decred dumping ten percent today. Digibyte and Crypto.com’s MCO are also sliding with a loss of over 7 percent each.
Total market capitalization 24 hours. Coinmarketcap.com
Total market capitalization is currently at $248 billion which is marginally higher than the same time yesterday. It did reach a high of $257 billion when Bitcoin hit resistance but has since pulled back slightly. There is growing concern that the imminent SEC decision for the VanEck ETF could cause prices to plummet. The regulator is due to decide on approval of the long awaited fund tomorrow but the most likely outcome is another delay.
Market Wrap is a section that takes a daily look at the top cryptocurrencies during the current trading session and analyses the best-performing ones, looking for trends and possible fundamentals.
The post Crypto Market Wrap: Bitcoin Steady Before ETF Ruling, What’s Expected? appeared first on NewsBTC.
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

Nasdaq Adding Brave New Coin’s Index for XRP to Global Data Service

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Nasdaq Adding Brave New Coin’s Index for XRP to Global Data Service
Stock exchange operator Nasdaq has fulfilled its promise adding one more cryptocurrency index – this time for the world’s third-largest cryptocurrency, XRP.
Nasdaq Adding Brave New Coin’s Index for XRP to Global Data Service

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Source: CoinSpeaker

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

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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

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Source: CoinSpeaker

The SEC Could Approve the First Bitcoin ETF in 2019

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The SEC Could Approve the First Bitcoin ETF in 2019
Professional crypto trader and writer Bill Adams takes a look the biggest developments in the Bitcoin ETF saga, unveiling the chances for eventual ETFs approval in 2019.
The SEC Could Approve the First Bitcoin ETF in 2019

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Source: CoinSpeaker

US Counsel Hints Bitwise & VanEck bitcoin ETF proposals On SEC’s Way

Bitcoin ETF, the very hot topic since late 2018 is on way to SEC’s final decision. According to the latest SEC’s announcement and the tweet by Jake Chervinsky who serves as Defense Counsel in the U.S hints that SEC’s decision for pending Bitwise and VanEck Bitcoin ETF is near – the countdown begins.
To remind, the VanEck Bitcoin ETF was filed in conjunction with CBOE (Chicago Board Options Exchange) and resubmitted to SEC with few amendments in late Jan 2019. On the other hand, the Bitwise Asset Management’s ETF was filed with NYSE Arca and published the proposal in the Federal Register on Feb 15, 2019. However, SEC didn’t respond to any ETF yet, in fact, it had asked to withdraw ‘Reality Shares’ its ‘partial-bitcoin ETF’ a day after submission.
Furthermore, in the history of ETF until today, there’s no definite decision from SEC – but this time, the team has recently announced via ‘Federal Register’ that ‘BitWise and VanEck’ ETF proposals are under review. Means that on Feb 20, 2019, SEC announced that initial decision on ETF is on way and they have also initiated ‘countdown of 45 days’ to decide – whether the approval, rejection or extension.

In a similar regard, Jake Chervinsky – who quite often shares the status on SEC’s decision towards important crypto assets and proposals including ETFs – took to Twitter, notifying the sequel update as ‘the clock is running on ETF proposals’. His tweet goes as follows;

The clock is running on the new Bitwise & VanEck bitcoin ETF proposals. The SEC's current deadlines are April 1 for Bitwise & April 6 for VanEck.
Remember, the SEC can & likely will delay up to three times. The absolute final deadlines to watch are October 13 & 18 respectively.
— Jake Chervinsky (@jchervinsky) February 20, 2019

Counting the initial 45 days after the proposal formally published in the ‘Federal Register on Feb 20, the response would be expected to reveal after March 13. Furthermore, the US SEC would take another three weeks (ie. Expected April 5) to announce its decision. Notably, Jake clarified the SEC’s current deadlines for Bitwise is April 1 and for VanEck is April 6.
At the moment, any comment from both the firm is still not made public – stay tuned with Coingape to know more what would likely happen with ETF before the SEC finally revealed its decision.
The post US Counsel Hints Bitwise & VanEck bitcoin ETF proposals On SEC’s Way appeared first on Coingape.
Source: CoinGape

45 Days Left for SEC to Decide on CBOE-VanEck Bitcoin ETF

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45 Days Left for SEC to Decide on CBOE-VanEck Bitcoin ETF

On April 5th, 2019, the SEC will have to announce their decision to either approve, deny or extend the decision-making period on Cboe/VanEck/Solid X’s Bitcoin ETF.

45 Days Left for SEC to Decide on CBOE-VanEck Bitcoin ETF

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Source: CoinSpeaker

Bitcoin Trading Volumes Across Crypto Exchanges See a Spike: Expert Opinion

Note: “This analysis is an adaptation from the work of Mati Greenspan, Senior Market Analyst at eToro
Key Highlights

Under pressure from SEC, Reality Shares withdraws its Bitcoin ETF
Technical and Fundamental Analysis stay disconnected in the crypto markets
Trading volumes across crypto exchanges see a spike

Crypto Trading Volumes spike across major exchanges
Well, the news of Reality Shares pulling out its ETF application got a mixed reaction on the street as many believed that more products built on bitcoin without backing are actually bad for the industry and they much prefer services like Bakkt or the proposed VanECK ETF that are actually backed up one for one with real bitcoin.
Even though the news of the pullout was sentimentally negative it did not impact the price much. This is how the price of the Bitcoin prices is behaving for quite a while as the fundamental analysis and technical analysis of Bitcoin stay disconnected. Fundamentally the crypto world is getting some great news about the growth but yet the patterns that are forming on the charts are decidedly bearish.
While the divergence continues, the trading volumes across crypto exchanges have recently seen a strong spike. The volumes during December 2018 was close to USD 10 billion per day, which was way below the current volume. Over last  24-hours, volumes across exchanges have reached $36 billion this morning, on a day with very little price movement. While this is a rare phenomenon one has to remember, this is an entirely new market that has only surpassed the $1 billion mark for the very first time in March 2017. This industry has basically grown from nothing into a global market place in just a few short years.
The post Bitcoin Trading Volumes Across Crypto Exchanges See a Spike: Expert Opinion appeared first on Coingape.
Source: CoinGape

Bitcoin ETF is Just a Matter of Time, Says Prominent Wall Street Advisor Ric Edelman

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Bitcoin ETF is Just a Matter of Time, Says Prominent Wall Street Advisor Ric Edelman

According to Ric Edelman, the founder of Edelman Financial Engines, ETFs will eventually meet the demands of the SEC and get the Commission’s approval.

Bitcoin ETF is Just a Matter of Time, Says Prominent Wall Street Advisor Ric Edelman

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Source: CoinSpeaker

Top Trending Cryptocurrency News of The Week: Jack Dorsey, QuadrigaCX, Facebook and VanEck Among Major Newsmakers

Key highlights

Jack Dorsey and his love for Bitcoin
Argentina’s transport system now accepts BTC
A critical case of QuadrigaCX
Facebook Acquires Chainspace
VanEck adds dozens on new pages to Bitcoin ETP proposal

Jack Dorsey and his love for Bitcoin
Jack Dorsey, the founder of Twitter has again expressed his love and loyalty for Bitcoin while playing a new bitcoin game called “pass the torch” this week. Not just that, in an interview with Joe Rogan, Jack again stated that bitcoin will probably become the native currency of the Internet. He also said that he views Bitcoin as a currency rather than an investment and that he wouldn’t consider holding any other coins, not even Ether.
Argentina’s transport system now accepts BTC
In another boost to BTC use case, the Transportation system which is spread across 37 cities in Argentina now has integrated BTC as one of its payment options. The SUBE card [standing for Sistema Único de Boleto Electrónico] is essentially a credit pass for public transport services within the Buenos Aires metropolitan area and other Argentine cities have added Bitcoin as payment for citizens to pay their transportation expenses
A critical case of QuadrigaCX
QuadrigaCX case just takes some critical twists this week. After having established that Gerald Cotton, the founder of the exchange had passed away in Rajasthan in India and his wife filing the affidavit in Candanian courts, Zerononsense, a research portal has claimed that there are no identifiable cold wallets which are not connected to the internet but can only be opened through private keys only. The report also says the exchange was using user deposits to pay out users withdrawal.
Facebook Acquires Chainspace
In a surprising move this week, Facebook acquired a blockchain start-up Chainspace. The reason sighted behind this acquisition is the hiring of quality blockchain developers who come as part of the package. Chainspace, self-described as a “planetary scale smart contracts platform,” recently posted a note on its website, announcing that the team is “moving on to something new.”
VanEck adds dozens on new pages to Bitcoin ETP proposal
In the latest report coming from regulatory corridors of SEC, VanEck SolidX Bitcoin ETF has added around 30 ‘hardcore’ pages. The very first proposal of VanEck has been submitted to the SEC during June 2018 and has been withdrawn due to Govt shutdown on Jan 23, 2019. With regards to the same Gabor Gubacs of VanEck mentioned that
“There are some changes on it, we have incorporated changes to the proposal based on regulatory feedback and based on feedback from market participants,”
The post Top Trending Cryptocurrency News of The Week: Jack Dorsey, QuadrigaCX, Facebook and VanEck Among Major Newsmakers appeared first on Coingape.
Source: CoinGape

Leaked Interview with Hopeful SEC Chief: Bitcoin ETF is on the Horizon

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Leaked Interview with Hopeful SEC Chief: Bitcoin ETF is on the Horizon

SEC Commissioner Robert J. Jackson recently did an interview with Congressional Quarterly, a publishing company who report primarily on the United States Congress, where he expressed views that an SEC-approved Bitcoin ETF is inevitable.

Leaked Interview with Hopeful SEC Chief: Bitcoin ETF is on the Horizon

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Source: CoinSpeaker

VanEck Adds Dozens Pages in Bitcoin ETF Proposal – CEO Set for SEC Approval

The latest report on VanEck SolidX Bitcoin ETF states that around 30 ‘hardcore’ pages have been included in the revised proposal. The very first proposal of VanEck has been submitted to the SEC during June 2018 and has been withdrawn due to Govt shutdown on Jan 23, 2019. However, as Coingape reported, it has again resubmitted with proposed modification on Jan 31, 2019.
ETF with 30 “hardcore” pages
Today, on Feb 08, 2019, a new release by Micky media explains that ‘various pages have been included in the filing’. VanEck’s CEO Gabor Gubacs says on CNBC’s Crypto Trader show ‘we’ve incorporated changes to the proposal’.
“There are some changes on it, we have incorporated changes to the proposal based on regulatory feedback and based on feedback from market participants,” Gubacs said.
Moreover, at this time, the ‘compelling arguments’ and reasoning have been made on how earlier ETF (built other than on bitcoin) has been approved in the past. He certainly says that ‘they have learned’ and made the best effort in this proposal. Mr. Gubacs hints to release correspondence that the firm had with the regulators – this effort was to let the market understand what VanEck learned during the time.
“Basically analogous markets, so like they’re gold and commodities markets and some of the shipping markets… So we have presented some scenarios were the SEC approved an ETF which had less transparency to the market, where pricing in those markets was not as built out as Bitcoin and the custody of the underlying assets were also not as built out,”
According to CEO Gurbacs, VanEck with SolidX and Cboe exchange steps towards including 30 pages to the ETF. These dozens of pages describe their ‘extensive consultations’ carried out since June last year (the time when first ETF proposal submitted). It contains learning and findings from such meetings with regulators and marketers at large.
“Something like 30 pages were added, it’s hardcore analysis on why Bitcoin is ready for an ETF.”
The post VanEck Adds Dozens Pages in Bitcoin ETF Proposal – CEO Set for SEC Approval appeared first on Coingape.
Source: CoinGape