Two days ago, the American Commission on securities and exchange Commission (SEC) gave permission for the registration of the exchange traded Fund ETF brothers Winklevoss. But sec Commissioner Hester pierce (Hester Pierce) did not agree with this decision of the regulator, saying that bitcoin is quite possible to bind such a financial instrument.
Not everyone in the SEC agrees with the refusal
The Commission refused to the owners of the Gemini exchange due to the fact that it did not see in their proposed market instrument sufficient protection against manipulation:
Our main argument for refusal is that the proposed exchange-traded Fund will not have a sufficient level of protection against price manipulation. Appropriate methods that can detect and prevent fraud in time, Gemini exchange is not developed. Despite the fact that the cryptocurrency Bitcoin itself has an unprecedented protection against such actions.
Almost immediately, a member of the Commission, Hester pierce, expressed her disappointment at this decision. She said that Bitcoin Is quite a "Mature" project with a good system of self-regulation, and it has the right to get to the American financial market:
Such a premature decision will hit the sentiment of investors and their protection, showing that Bitcoin is not worthy of "institutionalization". And this is not so, and many players of the financial market (Goldman Sachs, JPMorgan, Morgan Stanley) have long been busy with its implementation in services for institutional clients. Most of these companies will not agree with the Commission's arguments, which are the basis of the refusal.
The market fell, but quickly recovered
After the decision of the SEC, bitcoin quotes went down sharply, although the whole week before were in a state of steady growth. An important psychological level of $8000 was broken, the rate briefly fell below $7900. Other cryptocurrencies have traditionally rushed down with bitcoin, some have been demonstrated to have a strong fall.
But by the end of the day, the main cryptocurrency and altcoins played their positions, rising to the previous levels. Experts believe that this was due to the expectation of approval by the regulator of another ETF, the request for the implementation of which was filed by the Chicago Stock Exchange (Cboe).
Some began to doubt that this Fund will be accepted, as it can occur the same claims as to the ETF Winklevoss. But the positive attitude of Commissioner Hester Pearce has encouraged some of the community.
The crypto-currency community criticized the us regulator for its decision, considering that it can scare off long-awaited investors:
- *Sam_Riley:
Such a position of state bodies is upsetting, it is high time to understand that cryptocurrencies are a serious tool and arrange less paranoia. The price of the shares on the stock exchanges is also being manipulated, but they were not banned.
- *forestdog911:
It is great that there are adequate people working, it gives hope for a positive outcome in the future.
The government will fall and BITCOIN WIN. This is finish this story. have to wait. HODL
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