US broker warns about the "threat" of Bitcoin

Thomas Peterffy, the chairman of Interactive Brokers, bought whole Wall Street Journal ad page in order to "warn about Bitcoin"
16 November 2017   1011

The chairman of the largest American electronic broker "Interactive Brokers" published on the whole page of the The Wall Street Journal a warning on the the dangers that bitcoin futures could present to traditional capital markets. This is reported by the Business Insider.

Chairman of Interactive Brokers Thomas Peterffy addressed his message to the CFTC Chairman Christopher Giancarlo expressing his concern over the plans of the Chicago Mercantile Exchange (CME Group) for bitcoin futures, which the are planed to launch in December this year.

This letter is to request [the CFTC] require any clearing organization that wishes to clear any cryptocurrency or derivative do so in a separate clearing system isolated from other products. Cryptocurrencies do not have a mature, regulated and tested underlying market. The products and their markets have existed for fewer than 10 years and bear little if any relationship to any economic circumstance or reality in the world.

Thomas Peterffy
Chairman, Interactive Brokers

Also, according to Peterffy, the "unbridled volatility" of bitcoin can be dangerous for other futures contracts on the market, and therefore the clearing of such derivatives should be carried out by the relevant organizations in isolation from other derivative financial instruments. Otherwise, the head of Interactive Brokers believes, bitcoin futures as a result can "destabilize the real economy." 

SEC to Start VanEck-SolidX BTC-ETF Consideration

Starting today, the 45-day countdown to the SEC initial decision was launched
20 February 2019   105

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.