In a change of stance on cryptocurrency adoption by EU legislators, who until now have been mainly fence-sitting on the subject, are indicating that ETF acceptances may create more positive interest towards easing regulation.
A recent report by the EU’s financial advisory group suggested that there was a continued threat to investors trading in cryptocurrencies arguing that, “These issues are not unique to crypto assets trading platforms; they may be exacerbated in the case of crypto-assets because of their high price volatility and often low liquidity.”
In an attempt to regulate cryptocurrencies and provide more safeguards, EU legislators are increasingly looking to organizations such as Gemini who have taken to ETF, despite their own problems in getting them recognized by the SEC, due to the body’s continual reluctance to endorse cryptocurrencies. Gemini’s joint CEO Cameron Winklevoss commented about their own problems with regulation:
“We understand the commission’s concerns. We’ve heard them loud and clear and they are basically calling for more market surveillance and protections in the marketplace to avoid, prevent against manipulative behaviour and stuff like that. So, Gemini has built a market surveillance team.”
CSO of CoinShares, Meltem Demirors, has a more negative approach to the prospect of Bitcoin ETFs being accepted by the SEC due to the current political stalemate in Washington, arguing:
“….in this current sort of stalemate where you have the Democratic House, and the Republican Senate, you see some clashing, there are very different views on financial innovation and what should happen, but I think right now there is no upside to approving an ETF.”
The Winklevoss Brothers have called for the introduction of a Virtual Commodity Association, a self-regulatory organization for the cryptocurrency industry in the United States, similar to the Japanese Virtual Currency Exchange Association (JVCEA).
The JVCEA was founded on April 2018 when 16 crypto exchanges joined hands with the ultimate aim of providing self-regulatory standards for the industry-wide investors. Later in October, it was officially given self-regulatory status by Japan’s financial regulator to supervise the crypto sector.
Follow BitcoinNews.com on Twitter: @BitcoinNewsCom
Telegram Alerts from BitcoinNews.com: https://t.me/bconews
Want to advertise or get published on BitcoinNews.com? – View our Media Kit PDF here.
Image Courtesy: Pixabay