In an attempt to fall under the governmental regulation of the SEC, the cryptocurrency industry has been unable to bring this into fruition, starting with the Winklevoss Capital Management founders Cameron and Tyler Winklevoss application, which was rejected twice.
Related: The Key to The First Bitcoin ETF
In a recent Bloomberg “Trillions” podcast, managing director of ETF.com; Tom Lydon, ETF Trends publisher; and Todd Rosenbluth, director of ETF and mutual fund research at CFRA discussed topics in a roundtable discussion that included cryptocurrencies. They were asked whether a cryptocurrency-related ETF would finally make it to the capital markets.
“No,” said Rosenbluth. “The SEC has concerns about it. There isn’t the data to back up that this can be handled in a way without fraud–it’s a hard thing to overcome proving that.”
“SEC is looking at it for sure; they’re trying to get their arms around it,” said Lydon. “It will happen by the end of 2019.”
“I think futures-based products is where this is going to happen,” said Nadig. “It’s really hard for the SEC to say you can invest in oil futures and natural gas futures, but you can’t invest in crypto futures, they settle the same way, they trade the same way. I think it’s just a matter of time and the time is 2019.”
For more information on the cryptocurrency market, visit the Bitcoin category.