Gabur Gurbacs, Boss of Digital Assets Strategy at VanEck has expressed optimism over the SEC’s impending decision on the long-mooted Bitcoin exchange-traded means (ETF) proposal by VanEck and SolidX.
Speaking to host Brad Smith during an appearance on Cheddar, Gurbacs stated that while the market plainly wants a bitcoin ETF, the only update available is that VanEck believes it has provided enough compelling reason for the SEC to approve the long-awaited pool, and it believes it has a good chance of receiving the regulator’s blessing.
“Increased Transparency and Better Structure”
Explaining the reason behind the business’s optimism, he said:
“The last day the ETF can be approved is end of February. We think we have met all required market structure, obstacles and requirements on payment custody evaluation safekeeping. So, we are consciously optimistic but there is a lot more work to be done sort of to get the market ready. And some passable announcements recently on over-the-counter markets being transparent.”
The conversation, which was posted on Brad Smith’s Twitter account won mixed responses from an audience which was split between sharing Gurbac’s optimism and expressing reservations round the growth of the over-the-counter market’s transparency and surveillance capabilities.
Expanding later on his statement regarding increased maturation of crypto furnishes, Gurbacs tweeted:
It will be recalled that in addition to the proposal by VanEck, nine similar proposals for bitcoin ETFs take been submitted to the SEC, which promptly turned all of them down. The reasons given in all these cases generally chew overed around concerns about the possibility of manipulation and the absence of a robust market surveillance system in crypto markets.
In a bid to speak these concerns, VanEck has made a series of adjustments to their proposal. In November, Gurbacs stated that a Bitcoin ETF discretion not only attract billions of dollars in new investments, but the pending proposals could effectively give the SEC a key measure of regulatory leverage through the crypto market.
While an exact time frame for an SEC decision on VanEck’s application remains hard to predict, varied stakeholders in the crypto space are keeping a very close eye on developments because it is expected that unlike a number of other ETF requests, it is the one with the greatest possibility of success. The SEC has postponed a decision on the application twice already, with another postponement expectedly terminate last night which pushes the decision to the end of February 2019.
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Last modified: May 20, 2020 2:12 PM UTC