The crypto-market suffered another setback this week as the US Securities and Exchange Commission (SEC) refuted the Winklevoss twins in their last attempt at listing Bitcoin ETF on a regulated stock exchange. The SEC, among other reasons, explained that the underlying markets involved here are too volatile and open to random manipulation for the agency to be comfortably allowing a traditional securities product to be wrapped up by an exchange.
Back in Chicago though, Nasdaq, one of the largest stock exchanges in the world, was holding a closed-door meeting that had participants from both Wall Street and the crypto-industry in order to determine how to legalize altcoins as an acceptable asset. According to reports, the meeting had in attendance representatives from several companies, including the crypto-exchange Gemini – whose co-founders Cameron and Tyler Winklevoss were the behind the last bid to legitimise the Bitcoin ETF.
The reports said that a source with insight about the meeting explained that the discussions were mostly concerned around what new regulations mean for the future of the crypto-industry, and what industries and firms can do to reinforce the reputation of altcoins.
Earlier this year, Nasdaq had signed agreements with a few exchanges that would allow them to use the company’s market surveillance technology to monitor their trading points, and eagerness has also been shown by the Wall Street firm to list crypto-products once they are deemed more secure.
CEO of Nasdaq Adena Friedman recently stated that she thinks digital currency is definitely the “right next step in the space of currency”, although it’s still left to be seen which altcoin it will be that finally achieves mass adoption.
“How it evolves and which of the cryptocurrencies may or may not be the one that ultimately gets embraced, I think that really the jury is still out on that,” Friedman explained. “But I do think the idea of a more globalized payment mechanism that is more efficient than what we have today allows for money to transfer across countries and certainly supports the Internet economy.”
The CEO has also stated that the exchange is currently in the primary stages of creating a futures product based on Bitcoin, which is meant to serve as an investment for the long-haul.
Nonetheless, she is also an outspoken critic of ICOs, and maintains that they only serve to take advantage of small-time retail investors, and are chock-full of regulatory lapses and a lack of transparency.