VanEck to Inform SEC About Bitcoin ETF

Earlier the SEC rejected all applications for the launch of Bitcoin-ETF
25 July 2018   917

New York investment fund VanEck Associates has made a new attempt to inform SEC of its position on bitcoin-ETF and potentially push it to issue a permit to launch such a financial instrument.

As Bitcoinist writes, on July 20 VanEck sent a letter to the SEC, in which it again expressed its belief that the industry is ready to accept and support the ETF.

As you may know, earlier the SEC rejected all applications for the launch of Bitcoin-ETF. In addition, in January the Commission informed VanEck representatives that it was necessary to give "satisfactory" answers to a number of questions, before it would consider it possible "appropriate for fund sponsors to initiate registration of funds that intend to invest substantially in cryptocurrency and related products."

Apparently, VanEck believes that the company has those "most satisfactory" answers.

In the Staff Letter, you raise a number of concerns for cryptocurrency and cryptocurrency-related investment funds concerning valuation, liquidity, custody, arbitrage, potential manipulation, and other risks. We believe these concerns have appropriate answers […] moreover, by offering investors exposure to bitcoin through a regulated investment product, we believe the proposed ETF will be consistent with the Securities and Exchange Commission’s […] mission to protect investors, maintain fair, orderly, and efficient markets, and facilitate capital formation.

VanEck Letter

VanEck also analyzes each of the risks outlined by the Commission in detail and explains why they do not consider them an obstacle for launching Bitcoin-ETF.

Given the proposed ETF’s regulation under the Securities Act of 1933 and 1940 Act and the fact that it offers exposure via regulated and surveilled bitcoin futures, we reasonably expect the proposed ETF to reduce potential manipulation and operational risk associated with a bitcoin investment product. 

VanEck Letter

In June VanEck and SolidX filed a joint application for the opening of VanEck SolidX Bitcoin Trust - bitcoin-ETF, which will be immune from theft and loss of access to funds. The proposed product will be tied to a new index from Van Eck, which instead of exchanges will collect the price of bitcoin from US-based over-the-counter platforms. 

tZERO to Launch Bitcoin Trading App

Application itself is being developed by Bitsy; it may also begin to support Ethereum in the future
22 March 2019   167

The security tokens platform tZERO announced plans to launch a mobile application for buying and selling bitcoin. In the future, the application may also begin to support Ethereum,  CoinDesk reports.

According to Saum Noursalehi, CEO of tZERO, applications for iOS and Android devices should be launched in June. Bitsy is developing it, a cryptocurrency start-up that is part of the portfolio of the Overstock venture division of Medici Ventures.

That’s part of the reason we acquired Bitsy — to accelerate time to market for our mobile app. They have an app for trading crypto, primarily bitcoin, in a beta-phase, they built a wallet and key recovery mechanism, and this will be the foundation of the mobile app for tZERO. They are also working on some cool stuff like biometric login. 

Saum Noursalehi

CEO, tZero

According to him, the application will allow you to store cryptocurrency without the need to trust third parties and it will be connected to the network of exchanges through the API. The implementation of this plan will occur through partner tZERO, the institutional trading platform SFox.

In the future, the head of tZERO added, the platform also intends to create its own cryptocurrency vault to meet the demand from users.

The public beta testing of Bitsy wallet started in November 2018. With his help, the Overstock retailer plans to launch Bitcoin sales on its website.