US Finance Committee wants to question SEC: Quo vadis, Bitcoin ETF and Libra?

For Tuesday has charged the Finance Committee of the U.S. Congress, representatives of the securities regulator, the SEC, in for questioning. For the crypto-scene, this is for two reasons: on the one Hand, the SEC heads to the members of Parliament on the future regulation of the Facebook Coins Libra answer. On the other hand, the parliamentarians want to take the possibility of future Bitcoin ETFs under the microscope.

By David Barkhausen
23. September 2019BTC$9,785 of,26 -0.54%part Facebook Twitter LinkedIn xing mail

Nearly three months have passed since Facebook announced the plans of its controversial currency project Libra of the world. How you want to deal with Stable Coin in the future, this is the question the legislator to driving around the globe since then. For many members of Facebook's Vision represents an unprecedented challenge. Many a Parliament seek, therefore, Knowledge and assessments of experts. The Finance Committee of the U.S. Congress.

For the next Tuesday, the 24. In September, the house of representatives now, the next Panel survey. In addition to a broad catalog of other items on the agenda, representatives of the securities regulator, the SEC, should be the members then answer questions on the future regulation of the group currency. This is evident from the official calendar of the Congress.

Finance Committee looks to SEC the responsibility of

In a related preparatory document, the Committee sees the SEC with a view to the coming year, the planned release of the Stable Coins in the responsibility. Here, the members refer to the classic securities definition under Howey. Especially compared to Libras twin Token to be issued to 100 members of the Libra Foundation, it says:

The Libra-Investment-Token could arrive at a value paper [Security], since he is to be sold to investors to Finance the start-up costs and investors would bring in dividends. At the same time, Libra could be the Token itself as part of the securities to be construed, however, has no plans Facebook currently to pay dividends. It is, therefore, unclear whether investors have a "reasonable expectation of profit".

Integrated with Facebook Libra in the Investment Token, it would be according to the Howey Test in that both are securities. In order to be by US law, as such, must Investment vehicles represent an investment in a conventional company, and investors at the same time with the expectation of profits curls. Meet the Libra Token, these conditions in the future, they fall under the supervision of the SEC.

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The survey on Tuesday is already the third Time that the Congress on the occasion of the group Coins on the Capitol Hill in Washington. Back in July, Facebook's Blockchain-head and Calibra had tried-CEO, David Marcus, both in the house of representatives and in the Senate, the representation of the 50 States, previously, the concerns of U.S. lawmakers to eliminate. See the alleged loss of the state money monopoly by Libra with great suspicion. Some members have already called for a ban.

what time is the first Bitcoin ETF?

there is, However, a second agenda item of the survey on Tuesday for the crypto-scene is important. Because of the Convention calendar more shows, want to consult the Finance Committee, the SEC heads also on the topic of crypto-index funds. You might be particularly interested in a current water level to the presumably near future-approved Bitcoin ETFs. After Investment firm VanECK had withdrawn its application last week, to the hour of two appropriate permit applications on the Desk of securities and markets.

Currently, the Investment company Bitwise Asset Management, and Wilshire Phoenix hope for the blessing of the authority. In the past, this has rejected similar proposals several times already. A decision of the authority is to fall in October.

experts warn, meanwhile, for a Bitcoin ETF, it is due to the volatile Bitcoin exchange rate, still too early. Voices from the scene hoping of an official approval from the SEC signal. You will see in Bitcoin ETFs a decisive step towards the Mainstream establishment, and to the coming of age of the young crypto sector.

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