Copy link
Increase text size
Decrease text size
Link copied

U.S. SEC rejects Wilkshire Phoenix’s bitcoin-based exchange-traded fund

Image by United States Securities and Exchange Commission Facebook

Thu, 27 Feb 2020, 09:16 am UTC

The U.S. Securities and Exchange Commission (SEC) decided to reject the latest bid for a bitcoin-based exchange-traded fund (ETF).

In a filing posted on Wednesday, SEC denied the ETF bid made by the New York-based financial service start-up Wilkshire Phoenix because it fails to prove that the bitcoin market is sufficiently resistant to market manipulation. The company applied for an ETF last summer through NYSE Arca, Inc.

"The Commission concludes that NYSE Arca has not met its burden under the Exchange Act and the Commission’s Rules of Practice to demonstrate that its proposal is consistent with the requirements of Exchange Act Section 6(b)(5), and, in particular, the requirement that the rules of a national securities exchange be 'designed to prevent fraudulent and manipulative acts and practices' and 'to protect investors and the public interest," the filing read.

The regulators also concluded that NYSE Arca failed to establish that an actor trying to manipulate the proposed ETP would reasonably likely to trade in the CME bitcoin futures market and that it has a surveillance-sharing agreement with the Constituent Platforms or that the Constituent Platform constitutes a regulated market of significant size related to bitcoin.

SEC explained that the disapproval has nothing to do with the evaluation of bitcoin or blockchain technology but because NYSE Arca fails to demonstrate that its proposal is coherent with the requirements of Exchange Act Section 6(b)(5).

Meanwhile, SEC Commissioner Hester Peirce, popularly known as “crypto mom”, said that the agency applies a “heightened standard” to bitcoin products. She said that SEC had not required surveillance-sharing agreements with markets of significant size.

“This line of disapprovals leads me to conclude that this Commission is unwilling to approve the listing of any product that would provide access to the market for bitcoin and that no filing will meet the ever-shifting standards that this Commission insists on applying to bitcoin-related products—and only to bitcoin-related products,” she wrote, Coindesk reported.

The publication noted that SEC has rejected all previous bitcoin ETF proposals they received to date. Last year, SEC also published a rejection letter for Bitwise Asset Management’s bitcoin ETF proposal.

Meanwhile, SEC has warned investors against initial exchange offerings (IEOs) because it can be used improperly and may be conducted in violation of the federal securities laws.

TokenPost | [email protected]

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
  • wilsonborne44
  • 2020.02.29 17:49:24
I got ripped off by an investment company named cryptoallday by sending them all my life savings, I invested $70,000 of my trust-fund money and was hoping to triple my capital in a week as they promised. When it was time to withdraw my profit I was being coerced into sending more money for my cashout which I ignorantly did.. To cut the long story short I lost all the money and was left with nothing so I began searching the whole web for somebody who could recover stolen bitcoins. I searched for at least 4 months and came across different rippers again but I couldn't quit because I had nothing more to lose paying anybody to get my $100,000 (total amount I paid them).
Finally, I came across a recovery company CREDITSOLUTION63 and they did excellent in helping me recover my bitcoins. I was counseled by their group of experts and learned more about Bitcoins, at the same time recovered my total money lost, I can confidently refer anybody that was in my situation to them because I'm sure they offer genuine help. Be careful out there guys
Contact Mr Dennis
Email: CREDITSOLUTION63 at GMAIL dot COM
WhatsApp: +1 9176634684
You Can Also Text Or Call: +1 9176634684
NO UPFRONT PAYMENT!
  • 0
  • ·
  • 0
More
  • Bitcoin (BTC) $7,293.34 (-0.74%)
  • Ethereum (ETH) $170.15 (-1.36%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $272.71 (+5.95%)
  • Bitcoin SV (BSV) $215.29 (+13.04%)
  • Bitcoin (BTC) $7,293.34 (-0.74%)
Feb 21, 2020 (Friday)
12:01
Paxos launches blockchain-based securities settlement solution with Credit Suisse and Instinet
12:00
Brazil to launch new payment system in response to cryptocurrencies
11:59
Digital currency exchange Coinbase Pro lists Kyber Network token
11:57
Norwegian Air to soon start accepting crypto payments
10:21
Swedish central bank begins CBDC pilot with Accenture
09:51
Italian soccer team Juventus launches ethereum-based digital collectibles with Sorare
Feb 20, 2020 (Thursday)
14:16
Telecom companies complete cross-carrier mobile payments using blockchain
11:53
National Stock Exchange of Australia to develop DLT-based digital securities trading platform
11:00
South Korean ICO project discontinued, to return $7.5M to token holders
10:36
Samsung maintains crypto support in soon-to-launch Galaxy S20
09:41
BIS appoints Innovation Hub heads to lead Singapore and Switzerland
09:15
Coinbase becomes first crypto company to receive Visa principal membership
08:59
Dubai Economy and six banks launch KYC Blockchain Consortium
08:26
Crypto Technicals: ETH/USD under downside pressure after 'Bearish Engulfing' pattern
07:12
Tim Draper buys $1M worth of Aragon Tokens to create digital courts for DAOs
06:13
Renewable energy firm Acciona commits to take CBI’s blockchain-based carbon credits trading platform global
05:02
Crypto Technicals: BTC/USD trades below 21-EMA, break below 4H 200 MA (9386) to trigger further downside
04:56
Crypto exchange Coinfloor to launch a simplified bitcoin buying service
04:35
Indonesia’s customs department joins IBM- Maersk blockchain shipping platform “TradeLens”
Feb 19, 2020 (Wednesday)
12:46
Crypto custodian BitGo acquires digital securities startup Harbor
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft