The US Securities and Exchange Commission (SEC) has rejected nine applications to start the first-ever bitcoin-based exchange-traded funds or ETFs. The decision, although expected, disappointed all, who hope for a faster institutional adoption of the crypto currency. Late on Wednesday, the US regulator rejected two ETFs by ProShares, designed to track Bitcoin future contracts, five inversed and leveraged ETFs from Direxion, and another two from GraniteShares. The ETFs track an index or group of assets, but trade like stocks. The approval of one bitcoin ETF could potentially attract a wave of institutional buyers and probably push the market up. SEC's statement about why they rejected the EFTs.
I don't necessarily disagree but using their logic, they might as well remove pink sheet stocks from trading as they are easily manipulated.
Most likely no Bitcoin ETF will get approved until all the big boys are in the game. After a few banks that currently clear FX or Futures get in the game and more Hedge Funds join in THEN the sec will approve ETF's. Crypto prices will stay suppressed until those taking over the new casino complete their takeover. When they control this new casino then they will let prices run again.
"According to SEC the applications do not show explicitly they were “designed to prevent fraudulent and manipulative acts and practices.”" Well, the ETF is supposed to follow and mimic the underlying, not prevent manipulation. So they are basically saying no ETF until the BTC market gets more deep.>>> never
an ETF is a security ( irrespective of what the ETF is based upon) so it must be scrutinized by regulators just like any other ETF! fancy technology does not negate the need to have regulations to try and prevent scams. Look around how easy it is to promote an ICO shoudl they not have same scrutiny as an IPO! WTF!