- Till date, the SEC has twice rejected proposals submitted by Tyler and Cameron Winklevoss for the creation of a bitcoin ETF.
- The reasons cited for the rejections were that the creation of such a financial commodity would lead to the market at large being manipulated by third-party actors (a claim that is totally unfounded).
SEC Commissioner Hester Peirce, who is affectionately referred to as ‘Crypto Mom’ by many members of the global altcoin community, recently went on record to say that due to many officials affiliated with the US Securities and Exchange Commission (SEC) adhering to archaic financial views, Bitcoin ETFs have not been able to become a reality.
Not only that, she is also of the belief that due to the US government’s inability to establish a proper framework for cryptocurrencies, many associated businesses are moving offshores, thereby causing the USA to lose out on a lot of money.
In regards to the matter, Pierce was quoted as saying:
“[The SEC has the attitude of] ‘I don't like that marketplace. Bitcoin markets are messy, so we don't like them. So we're not going to allow that product that's based on bitcoin to trade in our markets.'”
Additionally, she also pointed out that the SEC’s weird attitude towards the crypto market was not only hampering the growth of Bitcoin but was also quite counterproductive for the nation’s economy as a whole.
More on the Matter
For those of our readers who may not be aware, Hester Peirce is one of five commissioners that are currently working for the SEC. Each of these five individuals have diverse views on cryptocurrencies — with Pierce being the only one who has embraced the crypto revolution in its totality.
In this regard, it is worth pointing out that when the Winklevoss twins submitted their ETF application to the SEC last year, she was the only commissioner who approved of the proposal.
In her opinion, her colleagues rejected the ETF applications because of their ‘set-in-stone views’ and poor decision making skills.
“The agency is old and has not historically been great with innovation. When a regulator is presented with something new, our safest response is to say, ‘Sorry, why don't you stick with the old traditional stuff? Because we know how to regulate that.'”
Other Important Information Worth Bearing in Mind
Last month, the SEC once again delayed its decision on whether or not to green-light VanEcks latest Bitcoin ETF proposal. Insider sources claim that an approval doesn't seem to be on the horizon anytime soon.
According to a number of SEC members — including outgoing commissioner Robert Jackson — the regulatory body is still not sure as to how the altcoin market should be governed.
In a recent interview, Jackson stated that the SEC will only embrace crypto-enabled technologies when the market at large becomes more transparent and liquid.