VanEck CEO: “No Bitcoin ETF Approval In The Foreseeable Future” By The SEC
Jan Van Eck, of Van Eck Associates, and CEO, gave his opinion on the probability of a regulated crypto investment asset taking root in the United States. The long awaited Securities Exchange Commission's (SEC) approval of a Bitcoin ETF looks unpromising in the near future, and not anytime soon either.
As one of the most sought after investment products, a Bitcoin ETF is expected to influence a spike in the price and adoption of Bitcoin as most experts believe. However, the reverse is not true as the SEC's constant rejection and withdrawals of applications in 2019, did little in effect to prices, as BTC grew over 95% through the year. The SEC has taken too long in that some sections of the crypto market believe Bitcoin ETFs approvals will never come to life.
This is the case even in the opening weeks of 2020, as Bitwise pulled back its BTC ETF proposal on Jan. 14th leaving optimists in massive doubt. One of the most awaited for Bitcoin ETF, VanEck/ SolidX ETF, faces the same challenges from the SEC having halted its proposal progress three times over the course of 2019, with Gabor Gurbacs – VanEck Director of digital asset strategies, comforting their customers by saying they were still focused on making a Bitcoin ETF a “top priority”.
At the start of 2019, VanEck released a statement announcing the withdrawal of their Bitcoin ETF proposal from the SEC. After re-applying in February, the SEC delayed its decision in March by 45 days, before the company announced yet another withdrawal. In September all hopes for a 2019 Bitcoin ETF were dashed as VanEck announced yet another withdrawal of their proposal in fear of rejection.
No Bitcoin ETF in the foreseeable future
In an interview with Bloomberg, CEO of Van Eck, Jan Van Eck, further spoke on how Bitcoin ETFs are not set to be approved any time soon. He believes the current regulation uncertainty around the area is not set to end anytime soon despite the increase exposure that Americans have to crypto in unregulated markets. He said,
“I don’t see a Bitcoin ETF anytime soon. So yes, the vehicles that allow […] accredited investors to access it, that’s fine. But, still you have tens and millions of retail Americans invested in Bitcoin with no regulatory protection.”