Bitcoin ETF Decision Delayed By The SEC
The U.S. Securities and Exchange Commission (SEC) has delayed a decision on a proposed bitcoin ETF, pushing its final determination ahead by more than a month.
In an order published on August 7, officials at the agency wrote that they were giving themselves more time to deliberate on whether to approve what would be the first exchange-traded product of its kind in the U.S. It's also perhaps unsurprising, given that in the past, SEC officials have used the agency's statutory powers to push back decisions on bitcoin ETFs.
As the agency wrote:
"Accordingly, the Commission ... designates September 30, 2018, as the date by which the Commission shall either approve or disapprove, or institute proceedings to determine whether to disapprove, the proposed rule change."
The proposed rule change from CBOE would, if approved, constitute a critical point on a path to listing a bitcoin ETF, in conjunction with money management firm VanEck and crypto startup SolidX. The companies submitted their proposal back in June, setting off a busy comment period that saw the crypto community rally in support.
All told, more than 100 comments were submitted through mid-July.
The choice to punt forward a final decision also comes days after SEC commissioners completed a review on a proposed bitcoin ETF from investors Cameron and Tyler Winklevoss, whose multi-year effort was dashed after a majority of the SEC's commissioners backed up the agency's original March 2017 rejection.
After solid growth to break above the $7,000 mark earlier today, Bitcoin (BTC) saw a loss of around $500 in six hours. At press time, all of the top ten cryptocurrencies other than Tether (USDT) are in the red, according to Coin360.
BTC is trading around $6,598 at press time, dropping 5.29 percent over the last day and bringing a new weekly low. The decline follows today’s news that the U.S. Securities and Exchange Commission (SEC) postponed its decision on the listing and trading of a Bitcoin exchange-traded fund (ETF) to the end of September.
Ethereum (ETH) is suffering a slump, having lost around 6.64 percent in the last 24 hours. The second largest cryptocurrency is trading at $377 at press time, also hitting a new weekly low. Over the month, the ETH price has dropped 23 percent.
The top ten altcoins are firmly in the red, moving downward from 4 to almost 12 percent. At press time, IOTA, and Ripple (XRP) show the most significant losses, dropping 8.52 and 11.46 percent respectively, followed by Litecoin (LTC) with a loss of 8.5 percent on the day. Among the top twenty coins by market capitalization, Ethereum Classic (ETC) has been hit the hardest, losing over 13 percent in the last 24 hours, and trading at $17.02 at press time. Today, Aug. 7, crypto exchange Coinbase added support for ETC on its Coinbase Pro platform. Yesterday, commission-free crypto trading platform Robinhood listed ETC as well.
Total market capitalization of all cryptocurrencies is at $236.7 billion at press time, down almost $15 billion over the 24 hour period.