SEC Temporarily Suspends Bitcoin and Ether Exchange Traded Note (ETN) Trading
With an official release issued September 9, the SEC announced the temporary suspension of exchange-traded notes dubbed Bitcoin Tracker One and Ether Tacker One.
Bitcoin Tracker One has been traded the Nasdaq Stockholm Exchange ever since 2015 but it wasn’t until August this year they became available for US investors. Bitcoin Tracker One was offered by a parent company of CoinShares Holdings, LTD.
According to Fundstrat’s co-founder and head analyst Tom Lee, ETN products reveal many similarities with the much awaited Bitcoin ETF. Trading the ETN resembles purchasing an American depositary receipt. This means that the trader will see a foreign-listed asset in US dollars.According to legal expert Jake Chervinsky, however, the problems the SEC is facing is with the CXBTF and CETHF trackers themselves, not with bitcoin or ether.
According to legal expert Jake Chervinsky, however, the problems the SEC is facing is with the CXBTF and CETHF trackers themselves, not with bitcoin or ether.
“As the full SEC order of suspension explains, the issue is “a lack of current, consistent and accurate information” on these products, such as whether they are ETFs, ETNs, or something else,” Chervinsky tweeted.
Source & Full article: Bitcoinist
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