In an announcement on Oct. 9, the Commission stated that the ETF filing from Bitwise Asset Management and NYSE Arca did not meet the necessary requirements.
The United States Securities and Exchange Commission (SEC) has rejected a proposal to list a Bitcoin exchange-traded fund (ETF).
Specifically, regulators stated that the applicants did not meet the necessary requirements regarding possible market manipulation and illicit activities.
The SEC wrote:
“Rather, theCommission is disapproving this proposed rule change because, as discussed below, NYSE Arcahas not met its burden under the Exchange Act and the Commission’s Rules of Practice todemonstrate that its proposal is consistent with the requirements of Exchange Act Section6(b)(5), and, in particular, the requirement that the rules of a national securities exchange be’designed to prevent fraudulent and manipulative acts and practices.'”
Bitcoin ETF “closer than ever?”
Today’s decision by the SEC seems to fly in the face of recent comments from Matt Hougan, managing director and global head of research at Bitwise, who on CNBC on Oct. 7 said, “We’re closer than we’ve ever been before to getting a Bitcoin ETF approved.”
Hougan had been optimistic about the firm’s chances to land approval for a physically-held Bitcoin ETF. He noted the significant growth that has transpired in the crypto space in recent years, stating:
“Two years ago, there were no regulated, insured custodians in the Bitcoin market. Today, … there are big names like Fidelity and CoinBase with hundreds of millions of dollars of insurance from firms like Lloyd’s of London.”
The rejection of Bitwise’s proposal follows a circuitous series of delays and requests for comment from the SEC. In August, the regulator postponed its decision on the proposal – together with two other crypto ETF applications – until Oct. 13.
Bitwise initially filed its application for a rule change to U.S. securities laws in January.
Bitcoin.com Partners with Canadian Gaming Giant Bravio Tech on Global Lotteries
Following on from its landmark partnership with HTC, Bitcoin.com has partnered with Canadian gaming and lottery giant Bravio Technologies. The partnership will see Bitcoin.com increase its Bitcoin Cash reach into international lotteries, one of the world’s most lucrative industries.
The new platform is to be developed by Bravio and will be hosted by Bitcoin.com. Users visiting lottery.bitcoin.com will soon have the option to play a variety of games including anonymous Bitcoin Cash (BCH) and Bitcoin Core (BTC) lotteries, enhanced quickfire sweepstakes, and the ever-popular Mega Jackpot weekly draws.
Bitcoin.com’s crypto lotteries will be fully transparent, secure, and will function entirely on blockchain technology. Automatic payouts will be sent directly to users’ digital wallets and, due to the anonymous nature of the blockchain, the Bitcoin.com lotteries will provide a fully-private way to both play and claim lottery winnings.
Stefan Rust, CEO of Bitcoin.com, explained: “Bitcoin.com partnering with Bravio introduces global lotteries such as Powerball and El Gordo to the cryptocurrency ecosystem. We are delighted as Bravio brings extensive lottery expertise complementing our deep-rooted cryptocurrency and blockchain technology expertise.”
Bravio CEO Paul Carroll added, “The digital entertainment industry is constantly growing. The demand for new and innovative ways to pay, play, and cash out is at the forefront of Bravio’s business strategy. As blockchain technology evolves, new markets are opening, and co-mingling cryptocurrency, blockchain, and gaming is something we have looked at for a few years now. The partnership with Bitcoin.com is a fantastic opportunity for both companies to scale! Our aim is to bring highly secure crypto gaming to the masses.”
Bitcoin.com’s partnership with Bravio Tech supports the crypto company’s goal of helping more people access and use Bitcoin Cash in whichever way works for them. The platform aims to become a hub for BCH, BTC, and international lotteries alike, giving users the chance to enter from anywhere in the world using crypto payment methods.