This was an expected result for an unexpected time. The news broke on August 7 that the U.S. Securities and Exchange Commission is kicking the can on its own decision to approve or disapprove a proposed rule change that would allow The CBOE BZX Exchange list a bitcoin exchange traded fund. Now, the next deadline for some thing is Sept 30, however finally, the U.S. Securities market regulator may push it forward into 2019. As CoinDesk mentioned previously, if accepted, it could allow for the very first ever listing of a bitcoin Exchange-traded fund in the U.S., made in partnership between investments company VanEck and blockchain startup SolidX.
The two companies filed their proposal back in June. More broadly, the listing could be seen in some areas as an indication of maturation for the cryptocurrency market and probably open the door for investors to gain exposure – albeit indirectly – to the nascent asset class. Twitter yawns as marketplace yells. The delayed decision was, as articles on social network suggest, widely expected by members of the crypto community. But whilst the collective social network response wasn’t far out of a yawn, the marketplace itself responded poorly. According to CoinDesk’s market evaluation report, the total value of all cryptocurrencies went down to $227.8 billion on Wednesday, the lowest level since Nov 2017.
Bitcoin’s cost alone fell below $6, 300 after trading over $7, 000 prior to the announcement. Not surprisingly, Twitter’s crypto ecosystem known for calm. For instance, OKCoin Chief executive officer Star Xu argued that these folks selling at the aftermath were overreacting. The market move led to speculation that the marketplace hadn’t priced in – which is to say, accounted for the chance of a SEC punt. Others wondered loudly if more nefarious actors were in work amidst the sell off, alleging manipulations in the aftermath of the announcement.
No worries here? . Some observers took a glass half complete view of the information, looking at the decision delay as a net positive. Indeed, some argued that the SEC’s deliberative procedure around the bitcoin ETF indicates that they’re taking the issue seriously.
Finally, as was the case for many decades now, the cryptocurrency community may have to wait to find out if the U.S. Will see the listing of a bitcoin ETF. Cryptocurrency Exchange-traded fund photo illustration via Shutterstock. The leader in blockchain information, CoinDesk is a media outlet that tries for the highest journalistic standards and adheres to a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.