BIS: BTC is “Bubble, Ponzi, An Environmental Disaster”

The general manager of the Bank for International Settlements Agustin Carstens сriticizes about cryptocurrencies and "novel technology"
07 February 2018   622

The general manager of the Bank for International Settlements (BIS), the "central bank of all central banks," Agustin Carstens, severely criticized bitcoin and other crypto-currencies as unattractive technology and an inconsistent payment system. This is reported by CCN.

Novel technology is not the same as better technology or better economics. That is clearly the case with Bitcoin: while perhaps intended as an alternative payment system with no government involvement, it has become a combination of a bubble, a Ponzi scheme and an environmental disaster.

Agustin Carstens

The general manager, Bank for International Settlements

He urged regulators around the world to put pressure on the cryptocurrency industry, so it did not undermine people's confidence in central banks. 

Authorities are edging closer and closer to clamping down to contain the risks related to cryptocurrencies. There is a strong case for policy intervention [intended to] safeguard payment systems.

Agustin Carstens

The general manager, Bank for International Settlements

In his opinion, if it does not deprive the industry of "oxygen", regulators will always be able to tip the scales in their favor. At the same time, Carstens said that digital currencies are actively used for illegal activities. 

SEC to Need More Info on BTC ETF

SEC is gathering more input from the public – to date, according to the agency, more than 1,400 comments have been submitted
21 September 2018   183

The US Securities and Exchange Commission (SEC) announced the beginning of a formal process for considering the application for the creation of bitcoin-ETF from the New York companies VanEck and SolidX. Nevertheless, the agency appealed to the community for more information. This is stated in the document published on the SEC website.

Institution of such proceedings is appropriate at this time in view of the legal and policy issues raised by the proposed rule change. Institution of proceedings does not indicate that the Commission has reached any conclusions with respect to any of the issues involved. Rather, as described below, the Commission seeks and encourages interested persons to provide comments on the proposed rule change.

The US Securities and Exchange Commission

At the moment, the SEC received about 1,400 comments.

According to the document, the Chicago Board Options Exchange (CBOE) has signed an agreement on the exchange of data on bitcoin transactions, trading and the state of the market with the cryptocurrency trading platform with Gemini.

The agency asked commentators to clarify the position of Gemini in the digital currency market and assess the likelihood of increased volatility at this site in connection with possible trades of bitcoin-ETF.

So, before September 30, the department had to decide on whether to approve, deny or initiate the proceedings. The SEC chose the latter, which is likely to delay the process until the next year.