According to CNBC’s September 4 report, Bill Barhydt, chief executive of Bitcoin remittance App Abra, said the US Securities and Exchange Commission (SEC) rejected and postponed several bitcoin currency ETF applications because There are no applicants who meet the SEC’s expectations.
Bitcoin supporters have been hoping that the SEC will approve the first bitcoin exchange-traded fund (ETF) this year, but the reality of a series of rejections and extensions is frustrating.
Bill Barhydt, CEO of Bitcoin remittance application, said that this is because applicants have not met the financial prototypes that the US Securities and Exchange Commission (SEC) is looking for so far. He told CNBC on Tuesday:
“Frankly, I think the current problem is that the companies that submitted the application did not meet the standards approved by the SEC.”
“I used to work at Goldman Sachs before, but if you look at my current wear, you may have a hard time guessing. So unfortunately, if I go to the SEC to apply for a Bitcoin ETF, I may not be qualified.”
Bill Barhydt said that in order for the Bitcoin ETF to be approved, in addition to the enough bitcoin trading volume, the focus is on the applicant’s need to “look, smell and feel” in line with the expectations of the US Securities and Exchange Commission. He said that if the applicant is a trustworthy financial institution, it is likely to win the favor of the SEC and has a higher success rate than a start-up or less well-known company.
As for when the SEC might approve a Bitcoin ETF application, Bill Barhydt said he bet that a Bitcoin ETF would be approved within a year. He said:
“I can bet that this will happen next year, because the demand is really too big.”
So far this year, the US financial regulator rejected the Bitkle ETF application of the Winklevoss twin brothers, postponed the decision to apply for the Bitcoin ETF for VanEck and Solid X, and rejected several Bitcoin ETF proposals.
Proponents of cryptocurrency believe that institutional interest in the field is a key step in turning it into a mainstream industry that big banks and consumers trust. However, the sharp drop in the price of the currency this year has greatly affected the optimistic expectations of institutional investors, because the Bitcoin and Bytecoin-like currency price fluctuations may discourage large financial companies.
BTC price has soared to an all-time high of nearly $20,000 at the end of 2017, but since then, the number one cryptocurrency has begun to fall sharply. As of Tuesday, the trading price of Bitcoin is around $7,300.
Some people want institutional investors to enter the market to lead Bitcoin and another cryptocurrency like lisk token out of the cold winter. In July of this year, a source told CNBC that BlackRock set up a special working group in 2015 to study cryptocurrency and blockchain technology supporting cryptocurrency.
On September 30, the SEC will decide whether to approve the VanEck SolidX Bitcoin Trust Fund.