#BitcoinETF #SEC #Matrixport #CryptoRegulation #GaryGensler #CryptoCompliance #BitcoinPrice #CryptoInvestments
Matrixport, a digital asset management firm, anticipates that the U.S. Securities and Exchange Commission (SEC) may reject all applications for Bitcoin exchange-traded fund (ETF) due to their failure to meet a crucial requirement. The company expressed this concern a day after predicting that Bitcoin’s value could rise to $50,000 over the weekend. However, Matrixport also notes that these applications could gain approval in the second quarter of 2022.
The firm attributes its assessment to the perceived negative stance of SEC Chair Gary Gensler towards cryptocurrencies. Gensler has reiterated the need for greater compliance within the industry. Gensler’s persistent stress on regulatory compliance raises the possibility of voting against the ETF – an event that could stimulate wider investment in crypto. According to Matrixport, this phenomenon garners significant support from the Democratic Party’s voting commissioners – a group identified for harboring anti-crypto sentiments. The lack of political incentives for regulatory authorities to endorse a spot ETF that legitimizes Bitcoin as an alternative store of value also dampens the prospects for speedy approval. Matrixport predicts a potential drop of Bitcoin’s price to around $36,000 in the event of the SEC’s rejection.
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