Staying updated on the ever-changing cryptocurrency market doesn’t have to be as tough as keeping up with the Kardashians. I’ve rounded up the latest set of news to help y’all stay in the loop.
Here’s a snapshot of how bitcoin and its buddies have fared in the past seven days as of August 24, 12:30 am GMT. Pretty decent improvement from last week!
SEC rejects 9 bitcoin ETF applications
Perhaps the biggest news in the crypto world for this week is the SEC decision to reject several bitcoin ETF applications filed way back in December last year.
This comes after the regulator’s rejection of the Winklevoss twins’ bitcoin ETF filing and their decision to shelve their ruling on another set for late September. This week, the SEC gave an “X” to proposed ETFs from ProShares, Direxion, and GraniteShares.
The financial watchdog stated (emphasis mine):
“[T]he Commission is disapproving this proposed rule change because, as discussed below, the Exchange has not met its burden under the Exchange Act and the Commission’s Rules of Practice to demonstrate that its proposal is consistent with the requirements of the Exchange Act Section 6(b)(5), in particular the requirement that a national securities exchange’s rules be designed to prevent fraudulent and manipulative acts and practices.”
In short, the SEC still has plenty of concerns when it comes to potential price manipulation and fraud, and the applications were unable to sufficiently address those.
Fans eagerly awaiting the ruling on the next batch worry that the regulator could cite these same issues and reject the rest of the applications. However, in the latest turn of events, the SEC issued a letter stating that they will be reviewing these rejections.
Ripple makes waves
On a more positive note, Ripple has added three cryptocurrency exchange partners under its belt. It will be working with Bittrex, Bitso, and Coins.ph to offer xRapid, its cross-borders payment solution, to clients in the U.S., Mexico, and the Philippines.
Ripple Chief Market Strategist Cory Johnson, this should help assure bigger financial institutions that their platform can allow “payments will move seamlessly between different currencies.”
Apart from allowing these institutions to save 40-70% on costs through xRapid, it also cuts down processing time from 2-3 days to just over a couple of minutes.
Ethereum scam alert
Malware researcher, The Next Web, reported this week that there is an illegitimate Android app that tricks users into paying for its download in exchange for ethereum.
But instead of getting the actual token, victims receive an image of the ethereum logo.
Over a hundred users have already fallen for this scam, thinking that the developer “Google Commerce Ltd.” seems legit and forking over $300 per download.
Last but certainly not least is a quick roundup of global regulatory developments related to the cryptocurrency industry.
In Japan, the commissioner of the Financial Services Agency (FSA) explained in an interview with Reuters that they’re developing a balance between technological innovation and consumer protection. He stated:
“We have no intention to curb [cryptocurrencies] excessively. We would like to see it grow under appropriate regulation.”
In the U.S., four cryptocurrency exchanges are forming their own self-regulatory body called Virtual Commodity Association Working Group. This includes Bitstamp, Bittrex, bitFlyer USA, and – wait for it – the Winklevoss twins’ Gemini exchange.
The group is set to have its first pow-wow next month to discuss formulating industry standards, helping big investors feel more comfortable in the crypto space, and look for ways to boost market liquidity and prevent manipulation. Stay tuned!