Winklevoss bid to list the bitcoin rejected by the SEC

After more than three years, The US Securities and Exchange Commission rejected a request to list the virtual currency on the market. The decision came as a big disappointment for Cameron and Tyler , the exchange-traded fund investors who placed the bid banck in 2013.

In short, the said the bitcoin is still unregulated and has a high risk of fraud.

Bitcoin is a (not so) new digital currency found on the Internet, through which investors are able to move money around the world quickly and with relative anonymity. The so-called cryptocurrency is powered by its users, with no central authority or middlemen.

Yet bitcoin presents a new set of risks to investors given its limited adoption, a number of massive cybersecurity breaches affecting bitcoin owners and the lack of involvement from the governments.

The Commission said that, in order to meet its high standards, an exchange that lists and trades shares of commodity-trust exchange-traded products (ETPs) must, in addition to other applicable requirements, satisfy two important requirements.

“First, the exchange must have surveillance-sharing agreements with significant markets for trading the underlying commodity or derivatives on that commodity. And second, those markets must be regulated,” said the Commission in a press release.

But the decision is not final. The SEC might change the verdict at a later date, when and if the bitcoin market will be regulated. “The Commission notes that bitcoin is still in the relatively early stages of its development and that, over time, regulated bitcoin-related markets of significant size may develop.”

Following SEC’s decision, bitcoin fell 18 percent in trading immediately after, but has since stabilised and even recovered, and it is priced at the time of this article at roughly 1.100 US dollars.
The Winklevoss twins – who are famous for their conflict with Facebook mogul Mark Zuckerberg over who came up with the idea for the groundbreaking social media site – have stated that they understand SEC’s decision, but will not give up their efforts. “We began this journey almost four years ago, and are determined to see it through. We agree with the SEC that regulation and oversight are important to the health of any marketplace and the safety of all investors,” said Tyler Winklevoss, CFO of Digital Asset Services.

About The Author

David Nataf started his career as co-founder of Net Development, a leading French web integrators, employing 80 people. After the merger of Net Development with Reef publisher, David joined the law firm, Jean-Pierre Millet, with the defense of computer attackers and victimes specialty ("hackers") in cases between different organizations such as NSA or other members of the international interception 'Echelon' network from the UKUSA treaty or the US Air Force. He is the author of several books on information warfare, consultant for the European Parliament as an expert in computer security (SSI) and electromagnetic signals intelligence (SIGINT). David Nataf successively launched several start-ups of the Internet in the field of paperless technologies termination of contracts online (""); online subscription to early stage fundraising foreshadowing the model will retain more later the platform "", or free roaming mobile operators (MVNO). Given his specialty at the cross road of anti computer crime legal advising, Internet technology, media and anti-propaganda operations, David has naturally become an actor's influence on the Web, working for a think-tank representing french defense and Aerospace. He is architecting crypto farms and masternodes for cryptocurrencies in Asia and Israel technological parks. He graduated in Law from the Faculty of Paris, is a passionate graduated gemologist by Gemological Institute of America "GG", Gemmological Association of Great Britain "Cert-Ga", practical daily triathlon.

Related posts

Leave a Reply

Your email address will not be published. Required fields are marked *