SEC chairman, Jay Clayton perceives the bitcoin trading to have one serious hurdle.
On Thursday, in a statement, he said that Bitcoin would require more stringent and robust regulation till it’s pertinent to be traded over major exchanges. Till then, investors must invest wisely.
Clayton is lately bullish to get retail investors a better place in the public markets, and therefore he insisted in the position. On Thursday, he said that he wants to see private companies releasing IPOs not much later and with imminent success and access to markets.
If the growth opportunities have shifted not all the way but to a substantial extent into our private markets and ordinary investors don’t have access to them, that’s not good,” he said. “The question is, what do we do about it?
He advocated some kind of funds structure but didn’t elucidate on any particular plans.
The cryptocurrency today has a market capitalization worth of 177 billion dollars and has undergone a number of attempts to reach a mainstream market. This involves endeavors to exercise exchange funds of trade, giving retailers a clear roadmap to secure trading.
Although, authorities have been resisting, given strong price fluctuations and a consistent number of crimes and frauds that keep surfacing crypto trading. Also, a general sense of crypto destabilizing the financial sector has also been feared of crypto trading.
Lawmakers and officials across the world, and not just in the U.S. are reluctant to offer support to the digital currency industry. Moreover, it looks like criminals find digital currencies a great way to launder money and get illicit payments that can be easily done in a discreet manner.
But all this doesn’t deny Bitcoin to reach its most luring valuations.
According to recent reports, Bitcoin had been priced at $9,875 on Thursday, which is almost 55% as compared to last year yet away from its highest value till date, that was over $20,000.
If [investors] think there’s the same rigor around that price discovery as there is on the Nasdaq or New York Stock Exchange … they are sorely mistaken,” said Clayton, the opening speaker at the Delivering Alpha conference, presented by CNBC and Institutional Investor. “We have to get to a place where we can be confident that trading is better regulated.
The greatest odds of bitcoin being listed over a public trading exchange were looking promising at the time when CME incorporated futures trading. Although, this doesn’t let actual coin trading happen on the given listing.
The cryptocurrency discussion is also a rampant phenomenon in a plethora of other concerns at New York’s 9th gathering in Delivering Alpha.