SEC Postpones VanEck Bitcoin ETF Decision Until End of September 2018

Bitcoin BTC Price ETF

Bitcoin BTC Price ETF

The U.S. Securities and Exchange Commission (SEC) has extended the time period it needs to make a decision on the Vaneck Solidx bitcoin ETF based on the proposed rule change filed by Cboe BZX Exchange.

One of the reasons for Bitcoin hitting $8,500 in recent weeks is mainly due to the anticipation of the crypto industry to the possibility of having a Bitcoin ETF. Its market capitalization is $112 billion dollars. In that application the regulator found the argument that the bitcoin market was "generally ... less susceptible to manipulation than the equity, fixed income, and commodity futures markets" unpersuasive.

During an appearance on CNBC's Fast Money on Wednesday, Pantera Capital CEO Dan Morehead suggested that Bitcoin investors have been too focused on attempts to gain approval for a Bitcoin ETF.

In an official report entitled " Blockchain and Digital Assets: US Equity Research, " Canaccord researchers Michael Graham and Scott Suh have now written that a Bitcoin ETF in the US is expected to arrive in 2019. The fund will then be used to track a Bitcoin index from MVIS, which uses over-the-counter prices rather than crypto exchanges.

The Securities and Exchange Committee (SEC) has postponed its decision on approving Bitcoin's ETF once again, a decision which is entirely being blamed for the market's downfall. The other firms who have submitted their proposals in the past are ProShares, Direxion and GraniteShares.

Following Bitcoin's trend, Ethereum prices also plunged to 4-1/2 month low, following the general pessimism created by SEC's postponement of its pending decision on Bitcoin ETF, which is seen to have affected the altcoins as well. ETF's are viewed by many as a way that can hasten the entry of institutional investors into play.

Will there still be a chance that we are going to see a crypto-related ETF soon? "A properly constructed physically-backed bitcoin ETF will be created to provide exposure to the price of bitcoin, and an insurance component will help protect shareholders against the operational risks of sourcing and holding bitcoin".

Bitcoin fell by over $500 today as a result of an SEC announcement, which formally delayed the verdict regarding the VanEck-backed ETF for 45 days.

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