More

    Bitwise Bitcoin ETF Pulled Back As Financial Advisors Remain Spooked By Unclear Regulations

    • Crypto asset manager Bitwise through Bitwise Bitcoin ETF trust request SEC for withdrawal on proposed ETF registration

    Bitwise withdrew their proposal to the Securities and Exchange Commission (SEC) from the initial ETF proposal it made to list the Crypto asset manager in the NYSE arca. SEC had previously rejected all Bitcoin ETF due to major concerns in fraudulent activities and market manipulation.

    Bitwise’ form S-1 filed on January 10th 2019 as per the SEC statement released on 14th Jan 2020 read,

    “At this time, the Registrant has determined not to pursue the registration and sale of the securities covered by the Registration Statement. The Registrant believes that this withdrawal request is consistent with the public interest and protection of investors as required by Rule 477(a) of the Act and represents, in accordance with Rule 477(c) of the Act, that there has been no issuance, distribution or sale of the securities under the Registration Statement.”

    However Bitwise’ proposal wasn’t the first of its nature. SolidX was the first Blockchain Company to file with the SEC in partnership with VanEck a money managing firm.

    With their initial rejection Bitwise tried to deal with market manipulation SEC’s major concern. The regulatory watchdog had in November 2019 promised to take a look into the initial rejection but are seem to not yet be convinced that Bitwise had complied with the set standards. Had the proposal sailed through, it would have enabled Bitwise through Bitwise Bitcoin ETF trust to trade based on data drawn from large crypto exchanges. Bitwise stated that the index drawn from the said data above and would aim to capture the gross return available to investors.

    The regulatory uncertainty spread across the market was captured in Bitwise latest report that showed over 42% of financial advisors said regulation is their biggest barrier in adopting blockchain and cryptocurrencies. The survey which collected data in Dec 2019 from 415 respondents in the financial field, financial advisors shared their optimism in the crypto markets but remained distant in adopting the new technology.

    Only 6% stated that they currently have clients’ funds in the crypto markets while the majority were almost certain they wouldn’t invest in crypto yet. This dwarfed the 7% who claimed they would definitely invest in the crypto markets 2020. With the regulatory concerns 42% cited regulation uncertainty is a major problem while the 58% indicated that proper regulation would indeed encourage investment.

    Get Free Email Updates!

    *Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

    I will never give away, trade or sell your email address. You can unsubscribe at any time.

    Lujan Odera
    Lujan Odera
    Lujan is a blockchain technology and cryptocurrency author and editor. He has worked in the field of cryptocurrencies and blockchain technology since 2015 helping him gain enough experience to be the writer he is today. He is known for his simple writing style that allows novices to understand the field in the simplest way.

    [Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

    [Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here

    3,263FansLike
    2,722FollowersFollow
    4,101FollowersFollow

    Live Bitcoin Price & Latest BTC Chart News

    Today's Latest Crypto News

    Bitcoin Payment Processor BTCPay Launches New ‘Vault' App With Multi-Wallet Interoperability

    BTCPay, a Bitcoin (BTC) payments processor integrated its new Vault app to its platform according to an official report by the company. The app...

    Cardano (ADA) Looking ‘Absolutely Bonkers' As Bullish Factors Push In

    After six months of accumulation, Cardano is looking ripe for bulls as daily Ichimoku Cloud also turns bullish Its price is also breaking...

    Research Reveals Binance Whitepaper Changed To Burn BNB By Trading Volume vs Profits

    Binance will no longer burn twenty percent of their profits after every quarter. The digital assets company had initially stated in the original whitepaper...

    BitConnect Saga Drags On As Judge Dismisses More Defendants, Only Three Remain

    The BitConnect class lawsuit is falling apart after a judge dismissed three of the defendants in the case. According to a lawsuit judgement, the...

    Chamber of Digital Commerce And The Blockchain Association Side With Telegram In SEC GRAM Case

    An amicus brief was just filed by the Chamber of Digital Commerce in the continuing legal battle between the SEC (United States Securities Exchange)...

    BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.