Wilshire Phoenix ETF Proposal Denied By SEC

• The securities and commodities exchange revealed some less than bullish news this week in regards to the Wilshire Phoenix proposal ETF.

• All other ETFs have been rejected by the regulator in the past leaving the market at a stalemate with lawmakers in the United States.

The securities and commodities exchange revealed some less than bullish news this week in regards to the Wilshire Phoenix proposal ETF. According to a filing on the 26th of February, the securities and exchange commission revealed that they had denied the ETF on the grounds of the company didn’t provide enough evidence showing that the bitcoin market is unable to be manipulated by malicious actors.

All other ETFs have been rejected by the regulator in the past leaving the market at a stalemate with lawmakers in the United States. The Wilshere Phoenix ETF is the latest bitcoin proposal that has seen rejection from the commission.

Many have viewed bitcoin ETFs to be a great to be the thing that would see cryptocurrency soar in price. However, now it seems that the ETFs are no longer worth looking into.

They’re been many bitcoin ETF proposals over the past few years including the Bitwise proposal and even a proposal by the Winkelvoss twins, notorious for being bitcoin billionaires. The securities commission denied both of these proposals with them later announcing that it was taking a second look at the former however, just days before the SEC was to show its decision, the company withdrew its proposal.

Given that the SEC has rejected so much, concerns have been made in regards to market manipulation given that this was the main reason for them all biting the dust. 

The filing from the commission said the following:

“The Commission concludes that NYSE Arca has not met its burden under the Exchange Act and the Commission’s Rules of Practice to demonstrate that its proposal is consistent with the requirements of Exchange Act Section 6(b) (5), and, in particular, the requirement that the rules of a national securities exchange be ‘designed to prevent fraudulent and manipulative acts and practices’ and ‘to protect investors and the public interest.’”

It will be interesting to see how this situation plays out. For more news on this and other crypto updates, keep it with CryptoDaily!