Grayscale CEO Concerns Over GBTC Getting Into The SEC And CFTC Crosshairs

Grayscale Investments CEO Michael Sonnenshein on Wednesday stated the SEC is treating the Bitcoin futures ETF and Bitcoin spot ETF disparately, whereas each drive costs from the identical Bitcoin market. Moreover, he hopes that Grayscale Bitcoin Trust (GBTC) doesn’t get into the crosshair between the SEC and the CFTC.

Grayscale CEO: Resolving the Crypto Jurisdiction Conflict Between SEC and CFTC Is Crucial

During an interview with CNBC’s “Squawk Box” on October 12, Grayscale CEO Michael Sonnenshein asserts the U.S. Securities and Exchange Commission (SEC) has violated the Administrative Procedures Act (APA). The SEC is treating the Bitcoin futures ETF and Bitcoin spot ETF disparately.

He believes each Bitcoin futures ETF and Bitcoin spot ETF drive costs from the underlying Bitcoin market. The SEC’s determination to disclaim conversion of Grayscale Bitcoin Trust (GBTC) to identify Bitcoin ETF is discriminatory. Also, the GBTC would drive their costs from the Bitcoin market like Bitcoin futures ETFs.

Moreover, Grayscale CEO Michael Sonnenshein believes it’s essential to resolve the conflict between the SEC and CFTC concerning crypto jurisdiction. Both regulators held totally different views on cryptocurrencies. The dispute or concern may hurt the GBTC.

“I hope that GBTC doesn’t get caught in the crosshairs between who has jurisdictional authority over crypto. You are seeing our entire industry asking our regulators to develop these frameworks.”

During the previous few months, the crypto trade leaders search bipartisan help on the crypto asset class. Multiple bills are being discussed in the U.S. Congress. The crypto trade, together with Grayscale, is urging legislators to develop a bespoke regulatory framework for crypto.

Grayscale CEO Michael Sonnenshein acknowledged that efforts are being put in for investor safety, world competitiveness, and innovation. He believes crypto is a fast-evolving asset class and continuously creating new use circumstances that make regulators’ work difficult. Thus, the trade individuals are educating lawmakers concerning the new asset class and its use.

Cardano Founder Blames Legislators for Lack of Crypto Regulations

While clarifying his misunderstood feedback over Ripple and XRP, Cardano’s founder Charles Hoskinson also blamed legislative bodies for being negligent in passing legal guidelines. He believes the shortage of bespoke crypto legal guidelines led regulators to comply with present legal guidelines and over-regulate crypto companies like Ripple.

Meanwhile, Charles Hoskinson has cut ties with the XRP community as a consequence of continued trolls and harassment by the XRP military.

Varinder is a Technical Writer and Editor, Technology Enthusiast, and Analytical Thinker. Fascinated by Disruptive Technologies, he has shared his data about Blockchain, Cryptocurrencies, Artificial Intelligence, and the Internet of Things. He has been related to the blockchain and cryptocurrency trade for a considerable interval and is at the moment overlaying all the newest updates and developments within the crypto trade.

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