THELOGICALINDIAN - The administrator of the US Securities and Exchange Commission SEC has categorical the key changes in cryptocurrency markets he needs to see afore he is adequate with a bitcoin ETFWhile some solutions to the problems he mentioned accept already been implemented the administrator insists on seeing added improvements
Also read: Indian Supreme Court Moves Crypto Hearing, Community Calls for Positive Regulations
Key Upgrades Needed
At the Consensus Invest appointment on Tuesday, SEC Chairman Jay Clayton explained what he needs to see afore the SEC can accede acknowledging its aboriginal bitcoin exchange-traded armamentarium (ETF).
According to Cnbc, Clayton said he “needs to see key upgrades in cryptocurrency markets afore acknowledging a bitcoin ETF.” Specifically, the SEC armchair “wants to see bigger bazaar surveillance and aegis for cryptocurrencies afore actuality ‘comfortable’ with a bitcoin ETF,” the account aperture added.
Better Market Surveillance
The aboriginal affair Clayton acclaimed was the abridgement of bazaar surveillance at crypto exchanges. Bazaar surveillance involves the use of systems that “monitor, anticipate and investigate calumniating and artful action on the exchanges,” the advertisement described.
The administrator explained that banal exchanges such as the New York Banal Barter and the Nasdaq already accept these ecology accoutrement in place. However, “Those kinds of safeguards do not abide currently in all of the barter venues area agenda currencies trade,” he affirmed, asserting:
Not all crypto exchanges abridgement bazaar surveillance, however. In April, Nasdaq appear that crypto barter Gemini “will be leveraging Nasdaq’s Smarts Bazaar Surveillance technology to adviser its marketplace.” Nasdaq claims that its technology “is advised the best broadly deployed surveillance arrangement in the world.”
This acceding followed the SEC’s bounce of the aphorism change proposed by Bats BZX to account and barter Coin ETF. The agency cited Bats BZX’s abridgement of “surveillance-sharing agreements with cogent markets for trading” bitcoin or its derivatives as one of the reasons.
On Tuesday, Europe’s better crypto barter by trading volume, Bitstamp, announced that it is implementing a ecology belvedere provided by bazaar surveillance provider Irisium.
Inadequate Custody
Clayton is additionally anxious with how cautiously crypto assets are stored, emphasizing that investors could be apparent to a accident of annexation in ETFs’ basal assets. A cardinal of aegis solutions accept been explored by companies such as Fidelity Investments, Coinbase, Gemini, Bitgo, Itbit, Japanese coffer Nomura, Goldman Sachs, Northern Trust and South Korea’s Shinhan bank.
Nonetheless, the advertisement quoted Clayton as adage that aegis solutions still “need to be bigger and hardened.” The administrator elaborated:
What do you anticipate of the SEC chairman’s attitude against bitcoin ETFs? Let us apperceive in the comments area below.
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