Better Markets Jeers Bitcoin After SEC Unofficially Approves ETF

• The SEC has unofficially approved Bitcoin Spot ETF applications. 
• Anti-crypto nonprofit Better Markets is urging the SEC to reject the pending applications.
• To justify its stance, Better Markets dragged Bitcoin, calling it useless, among other things.

Bitcoin ETFs are on the cusp of reaching the finish line , with the SEC and key players in the race moving toward the final stages of the approval process. However, while experts raise their glasses in celebration of the imminent decision expected in the following business week, Better Markets has dampened the festivities, cautioning the SEC that they may be on the verge of a ‘grave mistake.’ 

Better Markets Calls Bitcoin ETF a Huge Mistake

A nonpartisan nonprofit, Better Markets, renowned for lobbying stringent financial regulation, has submitted a comment letter to the SEC, strongly urging the commission to reject the pending applications for a Bitcoin Spot ETF , just ahead of its anticipated approval next week.

Dennis M. Keheller, the CEO and co-founder of Better Markets, asserted in his letter :

Keheller emphasized that the spot Bitcoin ETF poses substantial risks to American investors and retirees, highlighting the speculative and volatile nature of Bitcoin and labeling it as “socially useless.” While his letter primarily criticized Bitcoin for its risky nature, one of Keheller’s key arguments was that the Bitcoin market is still immature and unprepared for an ETF, citing the potential for wash trading and the high concentration of Bitcoin among a few owners. 

Despite the SEC’s commitment to enhance surveillance over the Bitcoin spot ETF, Keheller argued that the commission’s oversight wouldn’t be sufficient. He also pointed out that the chosen custodian for the ETF, Coinbase, is not registered with the CFTC or SEC and only represents a small fraction of the global market.

Drawing attention to the SEC’s ongoing case with Coinbase , Keheller shared that the platform has been unable to prevent fraud and manipulation, labeling it an ‘indefensible mistake’ for the commission to collaborate with them.

On the Flipside

• Better Markets has received endorsements from anti-crypto figures like Senator Elizabeth Warren. 
• Better Markets once notably rejected a $1 million donation from FTX.

Why This Matters

Better Markets remains steadfast in its stance against the crypto market. While its concerns may carry some validity, the perspective appears a little conservative when considering the crypto market’s long-term potential. Nonetheless, as the SEC’s decision looms next week, the letter from Better Markets has the potential to cast a shadow on the prospects of a Bitcoin spot ETF, given the unpredictable nature of the commission.

Read about the SEC’s unofficial approval of Bitcoin ETFs:
Bitcoin ETF Inches From Finish Line: SEC Accepts 19b-4 Forms

Read the latest DailyCoin regular edition on Cardano:
DailyCoin Cardano Regular: ADA Wipes New Year Gains Before Bitcoin ETF