Jay Clayton, the chair of the US Securities and Exchange Commission (SEC), believes that Bitcoin (BTC) is not a security since it acts as a replacement for sovereign currencies, CNBC reports today, June 6. Clayton, when speaking about the “incredible promise” of distributed ledger technologies driving efficiencies in markets, clarified during today’s CNBC interview his thoughts on cryptocurrencies that are “replacements for sovereign currencies:” “Replace the dollar, the yen, the euro with Bitcoin. That type of currency is not a security.” While Clayton did not comment on specific assets besides Bitcoin about their status as securities, he went on to …

On May 22, 2018 the US Commodity Futures Trading Commission (CFTC) issued an advisory statement for listing virtual currency derivative products. The statement is aimed at providing clarity for exchanges and clearing houses. Previously this week, major US cryptocurrency exchange and wallet Coinbase spoke to regulators about obtaining a federal banking charter. Those events came in the midst of uncertainty regarding the status of crypto in the US, as federal regulatory bodies still haven’t come up with one definitive scheme to regulate Bitcoin, altcoins and initial coin offerings (ICOs). There are currently a number of federal regulators involved in crypto, …

The U.S. Commodity Futures Trading Commission (CFTC) has issued an advisory statement for listing virtual currency derivative products, according to a CFTC press release published yesterday, May 21. The advisory statement is aimed at providing clarity for exchanges and clearing houses. The staff advisory, which was jointly issued by the CFTC’s Division of Market Oversight (DMO) and Division of Clearing and Risk (DCR), focuses on the specific areas involved in listing virtual currency derivatives on a designated contract market or swap execution facility. It covers the necessity for more market surveillance, coordination with CFTC staff, large trader reporting, and DCO …

The CEO of Nasdaq said that the stock market could become a platform for trading cryptocurrencies in the future, if the market becomes more regulated, CNBC’s Squawk Box reports Wednesday, April 25. Nasdaq CEO Adena Friedman said during an interview that “certainly Nasdaq would consider becoming a crypto exchange over time.” Friedman believes that cryptocurrencies “will continue to persist,” the only caveat being the amount of time it will take for the crypto sphere to mature. Once that kind of institutional regulations set in, according to Friedman, Nasdaq can say: “‘It's time, people are ready for a more regulated market, …

The Praetorian Group, referred to as a “Cryptocurrency Real Estate Investment Vehicle,” (CREIV) has filed with the US Securities and Exchange Commission (SEC) on March 6 to register their $75 mln Initial Coin Offering (ICO) as a security offering. If the SEC accepts their registration, the Praeotorian Group will hold the first ever SEC-registered ICO. The filing states that while there will be 200 mln of the Group’s PAX tokens on the Ethereum Blockchain, but the company is registering only the 15 mln offered in the ICO. These real estate-backed tokens will be offered for $5 per token, payable in …

The Commodity Futures Trading Commission (CFTC) has filed its first-ever charges against a Bitcoin investment corporation. The company, Gelfman Blueprint, Inc. (GBI), owned by Nicholas Gelfman of Brooklyn, New York, has been accused of fraudulent statements regarding Bitcoin investments. The company apparently had been running a Ponzi-scheme from 2014 through 2016, telling investors that it had created a computer algorithm called ‘Jigsaw’ which allowed for substantial returns through a commodity fund. In reality, the entire scheme was a fraud. Substantial losses The scam apparently bilked more than 80 individuals of sums nearing $600,000. The defendants consistently had reported substantial gains, …

In March, the Securities and Exchange Commission (SEC) issued its eagerly awaited ruling on the Winklevoss Bitcoin ETF proposal: denied. Finance and media pundits and immediately declared that Bitcoin wasn’t ready for the mainstream, and Bitcoin's price quickly dropped. But then something strange happened: shortly after the reject, the price of Bitcoin began soaring, from around $1,100 at the time of the ETF decision to $3,430 today. Along the way, something even stranger happened. A different regulator, the Commodities Futures Trading Commission (CFTC), approved LedgerX’s proposal to launch a regulated Bitcoin futures market. Who are these regulators, and why are …