August 2018 Cryptocurrency Recap: Development, Adoption and Regulations
What Did August Leave in the Cryptocurrency World?
Another month has passed in the cryptocurrency space with interesting points to mark. August is generally not a month full of developments, we are in the middle of the summer and people is out for holidays. However, the U.S. Securities and Exchange Commission (SEC) has been very active analyzing several Crypto-related exchange traded funds (ETFs).
At the same time, companies kept developing their products and services, something that will be seen during the last quarter of the year.
In terms of adoption we had very positive news coming from Goldman Sachs. One of the most important firms in Wall Street hinted about offering a virtual currency custody service.
This is quite important since institutional investors are searching for trusted sources to secure their crypto investments. These services may allow new investors to enter the market. Companies must build the necessary infrastructure for institutions and wealthier investors to start placing their funds in cryptos.
Individuals and investors from countries such as Turkey and Venezuela are searching for a safe haven in cryptocurrencies. Their economies are poorly performing and their currencies are losing their value every single day.
An important thing to mention about August 2018 is that the Intercontinental Exchange (ICE), has decided to partner with Microsoft and Starbucks, among other companies, to launch a platform known as Bakkt. This platform is expected to offer products and services to institutional and wealthy investors.
The company will be offering futures Bitcoin and may start operating by November this year. According to an analyst from Ironwood Research Group, the vehicle may garner interest of thousands and millions of investors.
The SEC has delayed its verdict related to the VanEck and SolidX ETF and nine other applications from ProShares, Direxion and GraniteShares.
According to the regulatory agency, the main issue why they did not approve the ETFs is because they are worried about manipulation in the crypto market. Moreover, the SEC explained that the market does not have a ‘significant size’ o be properly insured against malicious actors.
Even when the cryptocurrency market has been in a bear market since the beginning of the year, the bullish sentiment for the long term did not change. And indeed, the most important bulls in the market are very positive with their predictions for the future.
Coinbase CEO, Brian Armstrong, said about it:
“It’s getting harder and harder to become a crypto skeptic.”