Will SEC soon authorize an ETF having underlying Bitcoin? The doubt is lawful and there are many investors waiting for this tool. The ETFs (Exchange Traded Funds) are a financial instrument that is quite appreciated by investors. With an ETF on Bitcoin, the Bitcoin world would be further open to investors.
The request for approval of the first ETF fund having Bitcoin as the underlying was submitted in March 2017 was rejected by the SEC, the regulatory body of the financial markets of the United States of America. It seemed that the SEC had put a stone on the hopes of those who were waiting to be able to invest on Bitcoin with the ETFs but today it has hit the scene.
Kathleen Moriarty, a lawyer representing ETF creators on Bitcoin in negotiating with the SEC, said that the SEC's decision is more than a suspension, not a ban. Simply, the SEC is waiting for the Bitcoin market to become less volatile. Probably, SEC is also doing intensive cryptovalute and blockchain refresher courses to be ready to regulate the new market in the best possible way.
Who needs an ETF on Bitcoin? Only to institutional investors. Private investors already have the chance to successfully invest in Bitcoin using CFDs, the fundamentally simpler financial instruments of ETFs and, above all, without commissions (the ETFs have commissions that weigh heavily on final performance).
If the SEC in the United States has, for the time being, suspended the ETF on Bitcoin, in Europe, CySEC has given way to CFDs on Bitcoin. CFDs are simple tools to use, with no commissions and absolutely safe. With a CFD you can bet that the price of a financial asset (in our case Bitcoin) will increase or decrease. If the forecast is correct, you earn. The profit is proportional to the amplitude of the price difference.
