Trading Crypto

Bitcoin ETF Frenzy: SEC Receives a Flurry of Emails from the Public

The United States Securities and Exchange Commission (SEC) is currently buried under a storm of emails from cryptocurrency proponents concerning the recent Cboe Bitcoin ETF filing.

Over 90 Responders So Far

According to Bloomberg, more than 90 people have responded to the SEC’s call for public comments over the Cboe Bitcoin ETF filing. The Commission also said that the number of respondents far exceed the last time such a request for opinions was made on a BTC ETF application in April 2018.

This increase in public interest suggests that the cryptocurrency community is desirous to have a crypto-backed ETF. The virtual currency market has declined significantly in 2018. Many coins are down more than 50 percent from their late 2017 highs. Bitcoin has plunged more than 60 percent since the start of 2018.

Bitcoin ETF Fever Takes over the SEC

Such is the frenzy being generated by the call for public comments that the responses are starting to spill over into other areas of regulation. For example, out of the 21 comments on the Commissions’ broad ETF rule publication. 19 of them are about the recent Cboe ETF filing. It appears responders are utilizing any and every means to get their message across to the SEC.

The SEC provided three avenues for people to express their opinion on the Cboe Bitcoin ETF filing. The first one was via on online form on its website. The second avenue was via email while the third route was via the traditional ‘snail mail.’

The Quest for Bitcoin ETFs

Despite concerted efforts by crypto stakeholders, the SEC has so far elected not to approve any Bitcoin ETF filing. While the Commission deliberates on the recent filing by Cboe, the Commission has postponed its decision on another Cboe BTC ETF filing to September 2018.

For the SEC, the volatility and uncertainty of virtual currencies are the main reasons while it has so far refused to approve a crypto ETF filing. After the astronomic rally that saw BTC reach $19,500 in mid-December 2017, the SEC asked all Bitcoin ETF applicants to withdraw their applications pending the delivery of satisfactory answers to a few queries. These queries revolved around liquidity, arbitrage, valuation, custodial tools, and market manipulation concerns.

What do you think about the flurry of emails received the SEC of the issue of Bitcoin ETFs? Do you think the SEC should approve Bitcoin ETFs? Keep the conversation going in the comment section below.