Australian bank bars credit card purchase of cryptocurrency

The decision comes into effect as of February 14, 2018
14 February 2018   1134

Commonwealth bank of Australia made an annoncement today of it blocking all CommBank credit cards from buying virtual currencies, like Bitcoin. Given the unpredictability and lack of regulation of the cryptocurrency market, customers of CBA as of today, February 14, will no longer be able to acquire this type of currency with CBA or Bankwest cards. The bank compared the standards of the traditional currencies and of the virtual ones and concluded that the virtual currencies do not satisfy even the minimum standards.

However, clients of CBA can still purchase the virtual currency via transaction accounts and debit cards. Besides, the situation with cryptocurrencies is highly dynamic and the bank’s position is constantly reviewed.

Thus, CBA has become the first Australian bank to officially forbid the purchase of the virtual currency to its clients. And in doing so joined a notorious list of UK (Lloyds) and US (JPMorgan, Bank of America, Citi) banks with similar restrictions. Despite the regretable decision, other Austalia banks like ANZ or Westpac have not and will not place any similar restrictions. So the CBA’s decision is highly unlikely to become a trend.

SEC to Start VanEck-SolidX BTC-ETF Consideration

Starting today, the 45-day countdown to the SEC initial decision was launched
20 February 2019   98

For the first time since August of last year, two proposals on the creation of a Bitcoin-ETF are under consideration by the US Securities and Exchange Commission (SEC).

The application of VanEck and SolidX, issued in cooperation with the Cboe BZX exchange, as expected, was included in the Federal Register issue this Wednesday, with which the 45-day countdown to the SEC initial decision was launched. The application of Bitwise Asset Management and NYSE Arca was published last week.

I … hope that our investment in regulatory and market education, hard work and commitment will be honored when the time comes.

Gabor Gurbacs

Director of digital asset strategy, VanEck

The head of Bitwise’s research department, Matt Hogan, believes that not only firms that have submitted bids to create Bitcoin-ETFs are looking for approvals, but and the entire “extremely fast-growing” crypto industry.

A year ago there was maybe one qualified crypto custodian … and now there are half-a-dozen, and that number will go up from here. A little more than year ago, we didn’t have futures. A year ago we didn’t have nearly as many firms making markets. A few months ago, you didn’t have folks like Fidelity announced in the space. It’s evolving really, really quickly.

Matt Hougan

Global head of research, Bitwise

 As reported, ultimately, however, a bitcoin ETF approval will depend on how companies approach their proposals.