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Bitcoin

SEC Chair Statement On Bitcoin As Its History Enters A New Chapter After ETFs Approval

January 11, 2024 - Around 2 mins mins to read

Key Points:

  • The SEC approves the first U.S. Bitcoin ETFs, a watershed moment for the crypto industry.
  • The SEC Chair statement on Bitcoin urges caution, citing Bitcoin’s speculative nature and frequent use in illicit activities.
In a landmark decision, the U.S. Securities and Exchange Commission (SEC) has given the green light for the first U.S.-listed exchange-traded funds (ETFs) to track Bitcoin. SEC Chair Gary Gensler confirmed the approval, marking a significant moment for the world’s largest cryptocurrency and the broader crypto industry.
SEC Chair Statement On Bitcoin As Its History Enters A New Chapter After ETFs Approval
SEC Chair Statement On Bitcoin As Its History Enters A New Chapter After ETFs Approval 2

SEC Chair Statement On Bitcoin Still Shows Caution

The approval covers specific spot Bitcoin ETP shares, with Gensler cautioning investors about the inherent risks associated with Bitcoin and related products. While emphasizing the SEC’s neutrality on merits, companies, or underlying assets, the SEC Chair statement on Bitcoin ETFs underscored Bitcoin’s speculative nature compared to precious metals like gold, silver, and platinum. Notably, he highlighted Bitcoin’s frequent use in illicit transactions.

Gensler reiterated the SEC’s perspective that the “vast majority” of crypto assets function as investment contracts and, therefore, fall within the regulatory purview of the SEC. The SEC Chair statement on Bitcoin follows the official nod from the SEC for spot Bitcoin ETFs, ending a prolonged period of anticipation within the industry.

Key players such as Bitwise, Grayscale, Hashdex, BlackRock, Valkyrie, BZX, Invesco, VanEck, WisdomTree, Fidelity, Franklin, Ark Invest, and 21Shares are among those whose planned funds have received approval.

The SEC Chair statement on Bitcoin signifies a notable shift in the regulatory landscape, providing investors with new avenues to gain exposure to Bitcoin through regulated financial instruments. However, Gensler’s cautionary remarks reflect ongoing concerns about the volatile and potentially illicit nature of the cryptocurrency market.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.
Bitcoin

SEC Chair Statement On Bitcoin As Its History Enters A New Chapter After ETFs Approval

Key Points:

  • The SEC approves the first U.S. Bitcoin ETFs, a watershed moment for the crypto industry.
  • The SEC Chair statement on Bitcoin urges caution, citing Bitcoin’s speculative nature and frequent use in illicit activities.
In a landmark decision, the U.S. Securities and Exchange Commission (SEC) has given the green light for the first U.S.-listed exchange-traded funds (ETFs) to track Bitcoin. SEC Chair Gary Gensler confirmed the approval, marking a significant moment for the world’s largest cryptocurrency and the broader crypto industry.
SEC Chair Statement On Bitcoin As Its History Enters A New Chapter After ETFs Approval
SEC Chair Statement On Bitcoin As Its History Enters A New Chapter After ETFs Approval 4

SEC Chair Statement On Bitcoin Still Shows Caution

The approval covers specific spot Bitcoin ETP shares, with Gensler cautioning investors about the inherent risks associated with Bitcoin and related products. While emphasizing the SEC’s neutrality on merits, companies, or underlying assets, the SEC Chair statement on Bitcoin ETFs underscored Bitcoin’s speculative nature compared to precious metals like gold, silver, and platinum. Notably, he highlighted Bitcoin’s frequent use in illicit transactions.

Gensler reiterated the SEC’s perspective that the “vast majority” of crypto assets function as investment contracts and, therefore, fall within the regulatory purview of the SEC. The SEC Chair statement on Bitcoin follows the official nod from the SEC for spot Bitcoin ETFs, ending a prolonged period of anticipation within the industry.

Key players such as Bitwise, Grayscale, Hashdex, BlackRock, Valkyrie, BZX, Invesco, VanEck, WisdomTree, Fidelity, Franklin, Ark Invest, and 21Shares are among those whose planned funds have received approval.

The SEC Chair statement on Bitcoin signifies a notable shift in the regulatory landscape, providing investors with new avenues to gain exposure to Bitcoin through regulated financial instruments. However, Gensler’s cautionary remarks reflect ongoing concerns about the volatile and potentially illicit nature of the cryptocurrency market.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.