Higher Markets, a non-profit group that advocates for monetary reform and extra stringent monetary laws, has come out in stout opposition to the newly-approved spot Bitcoin ETFs.
In a statement printed on the Higher Markets web site on Wednesday, the organization’s CEO Dennis Kelleher blasted the SEC’s resolution to approve spot Bitcoin ETFs, saying that the SEC’s actions is not going to change something about “this nugatory monetary product.”
“Bitcoin and crypto are worse than the chips you should purchase at a on line casino as a result of at the least the on line casino is regulated; the spot Bitcoin market just isn’t and that’s what the ETF goes to be pricing,” Kelleher stated in his assertion. “There will likely be no SEC regulation or policing of Bitcoin.”
Kelleher continued by saying that Bitcoin and crypto nonetheless have “no respectable use,” and can stay the “most popular product of speculators, gamblers, predators, and criminals,” whereas additionally persevering with to be “cesspools of fraud, manipulation, and criminality.”
Because of the SEC’s resolution, American traders can have at the least 4 ranges of “false consolation,” Kelleher famous – the SEC’s approval, a trusted ETF funding car, the involvement of trusted monetary companies akin to Blackrock and Constancy, and a perception that Bitcoin ETFs will likely be regulated with traders in thoughts.
Kelleher beforehand wrote a public letter to the SEC on January fifth calling for the rejection of Bitcoin ETF purposes. Within the letter addressed to SEC secretary Vanessa Countryman, Kelleher argued that spot Bitcoin ETFs would enhance the potential threat of fraud, and would additionally allow the crypto trade to assert that its merchandise are actually U.S. government-approved.
Different Critics Chime In
In a statement posted on Wednesday, SEC Commissioner Caroline Crenshaw wrote that the company’s resolution was “unsound and ahistorical.”
“I’m involved that these merchandise will flood the markets and land squarely within the retirement accounts of US households who can least afford to lose their financial savings to the fraud and manipulation that seems prevalent within the spot bitcoin markets and can influence the ETPs,” Crenshaw stated in her assertion.
It stays to be seen how the SEC’s approval of Bitcoin ETFs will have an effect on different international locations’ timelines in launching crypto ETFs.
Nevertheless, South Korea’s Monetary Providers Fee, the nation’s high monetary regulator, stated right this moment that it’ll proceed to ban monetary establishments from releasing crypto ETFs.
An official from the Monetary Providers Fee told native media outlet Kyunghyang that the approval of spot bitcoin ETFs within the U.S. wouldn’t affect the Fee to vary its crypto ETF coverage, citing the steadiness of economic markets and unclear investor protections as causes for its resolution.