You know what they say — all good things must end? The recent interview of U.S. Securities and Exchange Commission (SEC) Chairman Jay Clayton with New York Times is a great example of that. During the interview, Clayton set forth the reverse position than he used to, claiming that the cryptocurrency market hasn’t got the same kind of safeguards as traditional markets do.
“We tried to get the word out that although the trading looks like the trading you would see on Nasdaq or on the New York Stock Exchange, these markets do not have the same kinds of safeguards for you,” Clayton said.
It seems that Clayton is trying to isolate from his previous statements. On November 27, the Head of SEC told CNBC that despite the fact that Bitcoin (Bitcoin: BITCOIN) is not security, many ICO tokens have their characteristics, which means that tokens should either be offered to investors as part of private placement or be registered accordingly. Now Clayton is trying to say that the idea of investing in cryptocurrency is bad by its nature.
Clayton decided to go further saying that the ideology of blockchain as a system with no third party was at loggerheads with existing regulation rules. Given all above mentioned, if cryptocurrency community is really intend to expand cryptocurrency adoption all around the world, it’ll has to deal with regulators demands.
So why the SEC Chairman has changed his thoughts about cryptocurrency market so quickly? The answer may be easier than you expect it to be. Just like with the case of UBS, SEC may be trying no to let another overhype train enter the crypto market. Another example — Bakkt.
As it was stated before, Bakkt bitcoin futures decided to postpone its product to January 29, 2019. Intercontinental Exchange explained the delay as the necessity to provide additional time for customer and clearing member onboarding prior to the start of trading and warehousing of the new contract.
And now we have bitcoin price at $3500-$4000, which, as it turns out, may not be the bottom yet. You must agree, however, that such kind of coincidence is far from random.
If all of this is just part of the plan, then the main question is — how far cryptocurrency is about to go in 2019?
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