SEC’s VanEck ETF Announcement: Bitcoin [BTC] Price Plunges
The U.S Securities and Exchange Commission [SEC] made an announcement about the VanEck-SolidX Bitcoin ETF. This was eagerly being waited by the cryptocurrency market and particularly Bitcoin [BTC] community. This impacted the value of Bitcoin and other cryptocurrencies greatly. It started with Bitcoin (BTC) reaching its all-time high in the last few weeks but the recent announcement had a disappointing effect on the community
The SEC released a statement on 7th August about the Bitcoin ETF. This announcement wasn’t the news that the whole community was eagerly waiting for. The decision regarding the ETF was postponed by the SEC from 9th August 2018 to 30th September 2018 meaning more wait for the community.
As per the SEC, more time is needed by them to come to a decision on approving or disapproving the mentioned rule change. The commision possess the authority to postpone a decision for up to 90 days if deemed necessary by them. Keeping this in mind, the commission has decided to postpone the decision by 45 days.
As per the SEC:
“The commission finds that it is appropriate to designate a longer period within which to take action on the proposed rule change so that it has sufficient time to consider the proposed rule change.”
A rule change was advocated by the Cboe BZX Exchange in order to list and trade shares issued by VanEck-SolidX Bitcoin Trust. The SEC got the rule filed by the exchange platform. The Securities and Exchange Commission got more than 1300 comments on this matter on 6th August 2018.
The cryptocurrency market was affected adversely by the particular announcement. The most affected was the Bitcoin community as the value of Bitcoin dropped below the $7000 mark. IN the last 24 hours the value of Bitcoin has dropped by more than 7% and continues to fall. Furthermore, the price went on to crash from $7100 to $6500 just after a few hours of the announcement.
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