U.Today - During a recent interview with CNBC's "Last Call," former Securities and Exchange Commission boss Jay Clayton that the approval of a Bitcoin exchange-traded fund is "inevitable."
"The reason why I said that it's inevitable is that many of the questions that stood in the way of a Bitcoin ETF (TSX:EBIT) have been answered to many sophisticated parties' and many regulators' satisfaction."
The main issues
During the interview, the former SEC Chair named multiple issues that were hindering the approval of a spot Bitcoin ETF. Clayton pointed to the fact that more than 95% of Bitcoin trading used to be attributed to wash trading or other forms of manipulative trading. Moreover, high-quality data "wasn't really available."One such report that gained significant attention was released by Bitwise Asset Management in March 2019. In this report, Bitwise suggested that up to 95% of Bitcoin trading volume reported on unregulated exchanges might be fake or due to wash trading. The company presented its findings to the SEC as part of its application process for a .
Moreover, there were questions about anti-money laundering, know-your-customer (KYC) rules, and other issues.
However, now, the former regulator believes that that the market has matured. "A lot of those have been answered," Clayton said.
Bitcoin's moment
As , the leading cryptocurrency recently managed to reclaim the $35,000 level due to a slew of Bitcoin ETF applications from such leading firms as Fidelity and .Bitcoin funds captured 83.7% of the total $66 million investment last week, according to a CoinShares report. Solana saw significant inflows among altcoins, but Ethereum faced outflows due to ongoing concerns about its future.
Meanwhile, the ETH/BTC ratio has recently reached new yearly lows due to Bitcoin's growing sentiment.