BTC Hypothetical Value to be $1.8k, Federal Reserve Says

Author of the report shows historical evidence that suggests bitcoin is in a bubble, without saying firmly whether it is or not
24 May 2018   1647

The branch of the Federal Reserve Bank of San Francisco recently published a report on the instability of the bitcoin price, which is determined by the properties of the cryptocurrency, which complicates its classification as a currency or commodity. This is reported by CCN.

Joost van der Burgt, the author of the report and the consultant for the Fintech in the Federal Reserve, notes that bitkoyn is in the historical stage of the bubble.

…the exchange rate between two currencies can be regarded as a broad measure of the prices of one country’s goods and services relative to another country. When looking at the Bitcoin ‘exchange rate,’ this category of determinants seems to be inapplicable – there is no current native Bitcoin economy with native Bitcoin prices for goods and services.
 

Joost van der Burgt

Federal Reserve

Bitcoin has properties of securities, but does not fully fit into this category - it does not generate interest, dividends or capital gains.

At the same time, bitcoin as a commodity and often referred to as a "value depository" behaves the same way as gold and oil, but bitcoin does not have intrinsic value. Value of mining is only $1800, according to report.

VanEck & SolidX to Withdraw BTC ETF Application

Bitwise and Wilshire Phoenix' Bitcoin applications are still pending
18 September 2019   46

The bid for Bitcoin ETF launch by VanEck and SolidX, considered the most likely candidate for approval, was withdrawn amid continuing uncertainty from the US Securities and Exchange Commission (SEC).

VanEck and SolidX planned to place their Bitcoin ETFs on the Chicago Options Exchange (Cboe). However, as follows from the notification published on Tuesday, on September 13, the latter withdrew the application for a change in the rules, which, if approved, would allow launching the corresponding tool.

Previously, SEC postponed the solution several times at the request of VanEck and SolidX. The last time this happened in August was when the decision on Bitcoin ETFs from Bitwise Asset Management and Wilshire Phoenix was also postponed.

The final deadlines for decision making on Bitwise and VanEck / SolidX applications were on October 13 and 18, respectively. Wilshire Phoenix's decision is due on September 29th.

It should be noted that over the past few years, various companies have sought approval from the SEC to launch exchange-traded funds, but each time the regulator refused. Most often, the reasons for the negative decision were explained by the risks of market manipulations and insufficiently developed market control tools.