The SEC chief confirmed BTC’s affection and commented BTC ETF

Gary Gensler, who served as chairman of the CFTC under the Barack Obama government and served as a SEC chief professor at the hugely prestigious MIT University, spoke about his relationship with BTC if distributed book technology during Tuesday’s online interview at Aspen. Security Forum, where he stated:

“During my work, I came to believe that even though there is a lot of hype in the cryptocurrency area that masquerades as a real benefit, Nakamoto’s innovation is really real.” evaluated his findings from the period when he lectured at MIT about BTC and blockchain technology. He even preached to his students then, to read BTC whitepaper.

Gensler believes that BTC will stay here and be part of the future of the Internet. “I really think there’s something real about distributed book technology, something that shifts value on the Internet.”

In his words, the SEC chief only confirmed what has been suspected of him for a long time, that is, that he is in favor of a scenario in which BTC will play an important role in the future. ,,At its core, Nakamoto sought to create a private form of money without a central intermediary, such as a central bank or commercial banks. ” highlighted Nakamoto’s “invention.” However, he pointed out that even BTC does not seem to fulfill all the functions of public currencies such as the dollar, but according to him it has different values.

Gensler also added that cryptocurrencies as such are currently primarily highly speculative “store of values”, ie assets that can “preserve value”. In this way, he apparently tried to emphasize that investments in BTC or other cryptocurrencies still belong to the category of risky.

It is preparing a robust regulatory framework

In an interview with Bloomberg, Gary Gensler, meanwhile, confirmed that his ambition is to enforce a robust regulatory framework for the cryptocurrency sector.. “If someone wants to speculate (with investments in cryptocurrencies), it is their choice. Our job (in the SEC) is to protect these investors from fraud. ”

He mentioned several changes that his commission is currently examining. These include adjustments for token offering, decentralized financing (DeFi) and stablecoins. Other points on which the SEC focuses are exchange traded funds (ETFs) or lending platforms specializing in cryptocurrencies.

According to Gensler, correctly set regulations are the simplest way through which the SEC can oversee the trade of cryptocurrencies. He also noted that the SEC’s supervision should also include matters related to DeFi or, for example, the supervision of the services of companies such as BlockFi, which is a giant in the field of digital asset lending.

If you are interested in #BTC or #crypto you need to follow @GaryGensler.

– Michael Saylor (@michael_saylor) August 3, 2021

Will the ETF contribute to the approval of BTC?

Cryptosector officials believe that Gary Gensler could be a way to approve the first BTC ETF, given his positive views on BTC, which he not only likes, but also understands its technology. The approval or rejection of an application for a BTC ETF is decided by its chairman, which chairs it.

However, skeptics point out that the probability of BTC ETF approval is still very low this year, although the SEC currently has up to 14 applications on the table for permission for this type of investment fund. There are also applications from giants such as Fidelity, NYDIG, OneRiver or SkyBridge Capital.

During the Aspen Security Forum, Gensler indicated that he saw the path to BTC ETF rather through the 1940 law on the regulation of investment funds. However, the vast majority of previous BTC ETF applications, including current ones, were filed under the 1933 Act, which provides permission to list investment products on stock exchanges. Gensler thinks the 1940 law better protects investors and is potentially more suitable for BTC ETFs. However, such BTC ETFs would probably not be tied directly to BTC, but to BTC futures contracts, such as those traded on the Chicago CME.

Regulatory clarity will benefit #BTC.https://t.co/bzFcsiWrRs

– Michael Saylor (@michael_saylor) August 3, 2021