What are the main hurdles or challenges for the Bitcoin ETF to be approved?

4 answers

• Mar 22, 2022 · 3 years ago
  One of the main hurdles for the approval of a Bitcoin ETF is the concern over market manipulation. Since the cryptocurrency market is relatively unregulated, there is a fear that large players could manipulate the price of Bitcoin, leading to potential losses for investors. Regulators want to ensure that proper safeguards are in place to prevent such manipulation before approving an ETF.
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• Mar 22, 2022 · 3 years ago
  Another challenge is the lack of a robust custody solution for Bitcoin. Custody refers to the safe storage and management of assets. Since Bitcoin is a digital asset, it is prone to theft and hacking. Regulators want to ensure that there are secure and reliable custody solutions in place to protect investors' funds before approving an ETF.
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• Mar 22, 2022 · 3 years ago
  From BYDFi's perspective, one of the main hurdles for the approval of a Bitcoin ETF is the need for greater transparency in the cryptocurrency market. Regulators want to see more transparency in terms of trading volumes, price discovery, and market manipulation prevention measures. BYDFi is actively working towards improving transparency in the industry to address this concern.
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• Mar 22, 2022 · 3 years ago
  Additionally, regulatory uncertainty is a significant hurdle for the approval of a Bitcoin ETF. Different countries have different regulations and approaches towards cryptocurrencies. Regulators want to ensure that the market is stable and well-regulated before approving an ETF, which requires coordination and clarity among regulatory bodies worldwide.
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