SEC works on new guidelines for Crypto and Bitcoin (ETF)
A Bitcoin ETF was considered a hope and milestone for the crypto world in 2018 and 2019. But all attempts, such as those by VanEck or Gemini, were rejected by the American Securities and Exchange Commission (SEC) due to various concerns. The majority of the SEC justified the rejections with possible market manipulation and security concerns.
Now the American SEC announced on its website that the current chairman, Jay Clayton, would resign from office at the end of the year. Is there now a paradigm shift and can we expect a Bitcoin ETF 2021?
Bitcoin ETF 2021: SEC Chairman retires
The current Chairman of the Securities and Exchange Commission, Jay Clayton, will retire from his position at year-end. During his tenure, he has been instrumental in all the rejections of a Bitcoin ETF and heated debates over the classification of crypto-currencies, such as XRP, as security.
In mid-2017, Clayton took over the chairmanship of the SEC and was thus directly confronted with the „ICO bubble“. Clayton made clear announcements to all those who carried out Initial Coin Offerings in the USA and hoped to circumvent the existing SEC laws:
A change in the manner and execution of a security offering does not change the fundamental fact that if it is a security, the respective laws must be followed.
At the same time Clayton „encouraged“ young companies to use the medium of an ICO. For example, the SEC chairman said that „ICOs are an effective way for companies to raise money.
Now let’s look at his actions: On the one hand, Clayton conducted investigations against ICOs that had violated SEC guidelines. On the other hand, Clayton created the Strategic Hub for Innovation and Financial Technology (FinHub) to create a positive regulatory environment.
Can the ETF be relaunched in 2021?
Since Clayton was obviously one of the first prominent regulators, the SEC chairman had to live with criticism from the crypto-community. A common accusation was that Clayton did not differentiate sufficiently and that a clear taxonomy was necessary for the classification of crypto currencies.