U.S. Securities and Exchange Chairman Jay Clayton simply delivered a rebuke to cryptocurrency backers, alleging that Bitcoin is unlikely to commerce on a serious US alternate till it’s significantly better regulated.
Crypto’s Not Ready for Prime-Time
The chairman of the impartial company of the United States federal authorities stated in his opening speech at Delivering Alpha:
“If [investors] think there’s the same rigor around that price discovery as there is on the Nasdaq or New York Stock Exchange … they are sorely mistaken. We have to get to a place where we can be confident that trading is better regulated.”
This will not be the primary time Clayton has echoed such sentiment. In November of final yr, the SEC chairman revealed his issues about Bitcoin value manipulation, stating:
“An even harder question given that they trade on largely unregulated exchanges is how can we be sure that those prices aren’t subject to significant manipulation? … People needed to answer these hard questions for us to be comfortable that this was the appropriate kind of product.”
Bitcoin ETF Withdrawal
Clayton’s statements come after CBOE withdrew its application to listing the VanEck/SolidX Bitcoin exchange-traded fund (ETF) — which all however pulls the plug on any hopes for a cryptocurrency ETF within the close to future.
As of the time of writing, the worth of Bitcoin had not reacted to Clayton’s statements. It is presently buying and selling at $9,869 on Kraken after failing to hold the $10,000 level earlier this morning.