SEC Member to Criticize SEC

Hester Pierce said "still smothering ETFs with personalized attention as if they were infants" and showed support for Winklevoss's ETF
03 June 2019   584

Commissioner for the Securities and Exchange Commission of the United States (SEC) Hester Pierce said that her office was too cautious about the approval of exchange-traded funds (ETF) based on cryptocurrency, and called for speeding up the process. Reports about it Financial Times.

Last month, Pierce has already said that the SEC "still smothering ETFs with personalized attention as if they were infants."

At the moment, asset managers who intend to launch an ETF must apply in accordance with the Investment Company Act (1940), which, according to many experts, is quite strict regarding cryptocurrency funds.

Note that Pierce has again showed her supportĀ the Bitcoin-ETF from the Winklevoss brothers, whom the SEC refused last summer.

In May, the agency once again postponed consideration of applications for the launch of Bitcoin-ETF from Bitwise Asset Management and VanEck / SolidX.

Despite this, the NYSE Arca recently submitted to the SEC a request to change the rules for listing securities from an investment bitcoin trust managed by Wilshire Phoenix Funds.

This is not the only company that intends to launch Bitcoin-ETF on the NYSE Arca. On May 9, the SEC received an application from Crescent Crypto Index Services LLC to create an index fund, which should track not only the quotes of the first cryptocurrency, but also Ethereum.

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The bid for Bitcoin ETF launch by VanEck and SolidX, considered the most likely candidate for approval, was withdrawn amid continuing uncertainty from the US Securities and Exchange Commission (SEC).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