These rumors have reflected positively on the market, as it has been talked about that the SEC will approve a spot Bitcoin ETF in recent days.
However, the nonprofit Better Markets sent a letter to the SEC not to accept the spot Bitcoin ETF.
In its letter from Better Markets, it urged the SEC to reject a number of recent spot Bitcoin ETFs over concerns about possible investor loss.
Better Markets Legal Director Stephen Hall expressed his concerns, noting that the crypto industry has lost $2 trillion, multiple lawsuits and investigations have been filed, and many bankruptcies.
“The track record of the crypto industry is clear when it comes to consumers, investors and financial stability.
The sector lost $2 trillion; multiple enforcement actions, bankruptcies and criminal prosecutions; and dozens of lawsuits for lying, fraud and theft.
Meanwhile, the main beneficiaries of the crypto frenzy have been criminals who use it to facilitate ransomware, money laundering and all kinds of illegal behavior.
In this context, the SEC should consider and reject the latest wave of Bitcoin ETF applications this month.
For years, the SEC has rightly rejected attempts by national stock exchanges to list and trade Bitcoin spot ETFs.
In this letter, we urge the SEC to remain consistent with its previous orders rejecting such applications and to reject any spot Bitcoin ETFs pending before the agency.”
While Better Markets has stated that the SEC should continue to reject applications for Bitcoin ETFs, prominent Bitcoin proponents such as Cathie Wood and Mike Novogratz think the SEC is likely to approve Bitcoin spot ETFs.
*Not investment advice.