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   277

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.

CFTC to Approve LedgerX's Deliverable BTC Futures

At the same time, another platforms such as Bakkt, ErisX and Seed CX still awaiting regulatory approval
26 June 2019   65

Cryptocurrency derivatives provider LedgerX LLC has received a license from the Authorized Derivatives Market (DCM) from the US Commodity Futures Trading Commission (CFTC), which will allow it to launch the country's first bitcoin futures.

Deliveries for deliverable futures are made in the underlying asset, not in fiat funds. Thus, LedgerX outstripped the Bakkt, ErisX and Seed CX platforms, which are still awaiting regulatory approval.

At the same time, LedgerX intends to launch the Omni platform for trading options, swaps, and bitcoin futures for retail investors, since at the moment it does not see enough interest from institutional market participants.

However, it should be added that some experts have already expressed fears that the nature of the license received will not allow LedgerX to provide margin tools to customers, and Bakkt should have such functionality.

Recall about the intentions to obtain the appropriate permission and overtake competitors LedgerX said in April.