The SEC (Securities and Exchange Commission, the CNMV of the US) has slammed the creation of exchange-traded funds, known as ETFs, linked to cryptocurrency and has asked its promoters to withdraw the registration requests. The supervisor warns that they will take the necessary measures to protect investors. l A study shows that two bots boosted the price of bitcoin in 2013 through fake operations
The launching of futures contracts on bitcoin was the first step to open the world of cryptocurrency to individual investors. The next was the creation of ETFs. funds, to enter fully into the financial industry and be managed as a financial asset. But the SEC, following the wake of a tougher stance by other regulators, has stopped the launch of ETFs with digital currencies as the main asset.
The body has published the letter sent by Dalia Blass, director of the Investment Management division, to the promoters of ETFs with more than thirty specific questions on liquidity, security and valuation of assets.
the promoters of ETFs with more than thirty specific questions about liquidity, security and valuation of assets.
"Until these questions are satisfactorily addressed, we do not believe it is appropriate to initiate the procedures for registering funds that have the intention of substantially investing in cryptocurrencies and related products," the letter explains.
It is the latest blow for digital currencies after the new regulations on the bitcoin of its trade in South Korea, where some of the world's largest cryptocurrency markets are located.
This is joined by the Chinese government's plans to veto the use of foreign mobile websites and applications that give access to virtual currency markets, as well as to restrict the activities of bitcoin "mines" (computer systems to generate these cryptocurrencies and maintain the technology on which they are based) installed in the country.
These measures would come after Beijing ordered last year to close the digital currency exchange houses based in the country, while in the case of South Korea, the Government is acting to try to control a market that is unregulated and it is characterized by its extreme volatility.
Today the price of bitcoin rises around 1% over $ 11,400. But since the peak of December when it reached the level of $ 19,000, the currency has accumulated a fall of around 40%.
source: http://www.eleconomista.es
I saw this in the news over the last few days, who knows where it's all going to end up