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On January 11th, SEC Chairman Gary Gensler issued a statement on the approval of Bitcoin spot ETFs on the official website. He stated that the commission approved the listing and trading of some Bitcoin spot ETP (Exchange Traded Product) shares today. This approval is limited to ETPs holding non-securities commodities. It by no means indicates that the SEC is willing to approve the listing of crypto securities. The approval also does not express the commission's opinion on the status of other crypto assets under federal securities laws. At the same time, today's action does not imply approval or endorsement of cryptocurrency trading platforms or intermediaries, which often substantially violate federal securities laws and frequently have conflicts of interest. The majority of crypto assets are considered investment contracts and are thus subject to the jurisdiction of federal securities laws.
Today's action includes certain protections for investors. Firstly, initiators of Bitcoin ETPs will be required to provide comprehensive, fair, and truthful product disclosures. Secondly, these products will be listed and traded on registered national securities exchanges. Existing rules and conduct standards will apply to the purchase and sale of approved ETPs. Additionally, SEC staff is concurrently completing the review of registration statements for 10 Bitcoin spot ETPs.
Gensler also emphasized that while they approved the listing and trading of certain Bitcoin spot ETP shares today, it does not mean they approve or endorse Bitcoin. Investors should exercise caution regarding the risks associated with Bitcoin and products related to the value of cryptocurrencies. Bitcoin is primarily a speculative, highly volatile asset that is also used for illegal activities, including ransomware, money laundering, sanctions evasion, and terrorism financing. |
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Post time 20-1-2024 21:27:52