The founder of Vault Equity believes there is good reason for US regulators to slowly approve exchange-traded funds (ETFs) exclusively linked to Bitcoin (BTC).
Vault Equity CEO and founder Ted Park has expressed support for the US Securities and Exchange Commission (SEC) over the regulator’s reluctance to approve an ETF that will track bitcoin directly.
In an interview with Fox Business on Tuesday, Park argued that Securities and Exchange Commission Chairman Gary Gensler “actually represents bitcoin,” but also “a little misunderstood” about his view of cryptocurrency regulation in the United States.
Park specifically referred to the SEC’s concerns about investor protection, meaning that cryptocurrency depositors have not yet convinced the commission of their ability to adequately protect their holdings:
“I can say, ‘I have a gold ETF or a Bitcoin ETF,’ but I’m keeping that gold in my basement. Will the SEC allow this? Many of the issues Gansler specifically mentioned.”
The CEO added that “at least half” of existing ETF crypto implementations with SEC are “invalid” because they “do not take into account what Gary Gensler says.”
Park emphasized that Vault Equity’s crypto ETF does not provide direct access to Bitcoin, but instead tracks large Bitcoin-related companies, including MicroStrategy, Tesla, Twitter, and Square, as well as Bitcoin miners such as Bitfarms.
“We are trying to understand what people are really looking for, which is related to bitcoin price movements. These companies are really focused on bitcoin and get the most revenue and income from bitcoin. It makes sense that they tend to move with the price of bitcoin,” Park said.
Related: Bitcoin futures ETFs likely to be delayed until 2022, research firm CFRA says
Approved October 1, the Volt Crypto Industry Revolution and Vault Equity’s Tech ETF track Bitcoin Industry Revolution companies, a list of companies that own most of their net worth in bitcoin or derive most of their revenue from bitcoin mining, lending, or transactions. …
The Securities and Exchange Commission (SEC) has not yet approved a pure Bitcoin ETF. In October, the Securities and Exchange Commission (SEC) extended the deadline for four Bitcoin ETFs, including the Global X Bitcoin Trust, Valkyrie XBTO Bitcoin Futures Fund, WisdomTree Bitcoin Trust, and Kryptoin Bitcoin ETF. In August, the head of the Securities and Exchange Commission, Gensler, suggested that the regulator might be open to approving bitcoin futures ETFs.