Chief executive of bitcoin payment start-up Abra, Bill Barhydt, feels that the SEC has been on a Bitcoin ETF applications rejecting spree, as the applicants don’t fit into the mold of personalities that the SEC is used to be engaging with. Crypto enthusiasts have been hopeful that the SEC will grant the first Bitcoin exchange-traded fund (ETF) this year, but they have been disappointed by a series of postponements and rejections.
Drawing an analogy to his claim of applicants not fitting the SEC’s mold, Barhydt said that he used to work for Goldman Sachs earlier. So the way he is dressed to the SEC meeting is much different than the way he would go dressed to the Goldman Sachs office.
So far this year, the SEC has slapped down several Bitcoin ETF proposals, rejected a fund proposed by Cameron and Tyler Winklevoss and also postponed a conclusion on whether to give a go-ahead to VanEck and SolidX proposed ETF.
With the much awaited September 30 decision by the SEC on the ETF application submitted by VanEck, Barhydt said that the applicants have failed to meet the specifications of the SEC in terms of personality archetype and financial industry profile, thereby making the permission all the more challenging to obtain.
Cryptocurrency advocates feel that institutional interest in the space is a crucial step towards transforming the same into a mainstream industry that’s trusted by both consumer and big banks, as stated in the CNBC report.
Some crypto enthusiasts are of the opinion that an ETF is the lever that can finally open the bitcoin market to the large-scale entry of institutional investors, as stated in the CCN report. Theoretically, a Bitcoin ETF could help the wider crypto market and bitcoin to achieve a valuation that otherwise can only be achieved with mass adoption.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]