What are the requirements for a Bitcoin ETF under the new SEC rule change?

3 answers

• Feb 18, 2022 · 3 years ago
  To meet the requirements for a Bitcoin ETF under the new SEC rule change, the fund must demonstrate that it can prevent fraud and market manipulation, have adequate custodial arrangements, and provide sufficient investor protections. Additionally, the ETF must have a well-functioning arbitrage mechanism and be able to accurately value its assets. It is also important for the ETF to have proper risk management procedures in place and comply with all applicable securities laws and regulations. Overall, the SEC wants to ensure that a Bitcoin ETF is safe and transparent for investors.
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• Feb 18, 2022 · 3 years ago
  The new SEC rule change for Bitcoin ETFs sets out several requirements that need to be met. These include having a robust surveillance-sharing agreement with a regulated market of significant size, implementing measures to prevent fraud and manipulation, and having adequate custodial arrangements to safeguard the ETF's assets. The ETF must also have a comprehensive risk management framework and comply with all relevant securities laws. By meeting these requirements, a Bitcoin ETF can provide investors with a regulated and secure way to gain exposure to Bitcoin.
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• Feb 18, 2022 · 3 years ago
  Under the new SEC rule change, a Bitcoin ETF needs to fulfill certain criteria to be approved. These criteria include having a well-established market surveillance program to detect and deter manipulative practices, implementing measures to prevent unauthorized access and theft of Bitcoin holdings, and having a comprehensive and transparent valuation methodology. The ETF must also have proper risk management procedures in place and comply with all applicable securities regulations. By meeting these requirements, a Bitcoin ETF can offer investors a regulated and transparent investment vehicle for Bitcoin.
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