For years, the SEC has refused to approve a cryptocurrency ETF, and this, according to the SEC’s own Hester Peirce, is a double standard.
Hester, also known as Crypto Mom, believes that the cryptocurrency business has grown enough in the last decade to justify improved SEC treatment.
The US Securities and Exchange Commission’s (SEC) argument for not approving a Bitcoin exchange-traded fund (ETF) five years ago was that the market was plagued with manipulation and not mature enough. But, at least according to SEC Commissioner Hester Peirce, this is no longer a legitimate explanation. She believes the SEC is applying a double standard to cryptocurrency, which she believes is unjust.
Peirce is regarded as one of the most popular individuals in the crypto world. While the SEC has always appeared to be a crypto skeptic, she has been a dedicated advocate for the industry. This has led her to criticize the Securities and Exchange Commission (SEC) and some of her fellow executives when they oppose crypto, typically without justification.
She’s done it before, and she’s done it again in her most recent interview.
“When will the SEC approve a bitcoin exchange-traded product?” is perhaps the most often asked question I get. In an interview with CNBC, Peirce, also known as Crypto Mom, explained.
I assumed that if we applied our standards to these products in the same way that we do to other products, we would have already authorized one or more of them. The reasoning we’ve used in the past for not approving seems to be eroding with each new day.
The SEC should have approved a Bitcoin ETF, according to Crypto Mom.
Crypto Mom isn’t the first person to criticize the SEC for failing to approve a Bitcoin ETF. Last year, she slammed the Commission, claiming that it demanded more from crypto companies than it did from other financial firms.
She has also made a strong argument for a crypto ETF in 2018. “Bitcoin is a novel phenomena with questionable long-term viability. It could succeed or fail. The Commission, on the other hand, is ill-equipped to judge the likelihood of either outcome in the case of bitcoin or any other asset “‘At the moment,’ she remarked.
Since then, not much has changed: she is still fighting for a crypto ETF, and the SEC is continuously rejecting ETF applications, the most recent of which was submitted by VanEck.
Related: Ark Invest and 21Shares have teamed up to file for a Bitcoin ETF.
Failure to approve the ETF will simply encourage investors to invest in its replacements, which could harm them, according to Crypto Mom.
People are seeking for other methods to do the same things they would do with an exchange-traded product, which adds to the problems of not certifying [an ETF]. They’re looking at different types of things that aren’t as easy to get into and out of, as well as companies that are linked to bitcoin or cryptocurrency in general.
Mom of a Cryptocurrency/n
