Analysis Crypto by Thebittimes.Com

Bitcoin ETFs could be subject to manipulation in the spot Bitcoin market. The SEC's chief concern is figuring out how to prevent manipulation induced by ETFs. Investors are eagerly anticipating the potential approval of a spot bitcoin exchange-traded fund (ETF) by the United States Securities and Exchange Commission (SEC). The excitement began in early June when the investment giant BlackRock submitted a filing for the product and gained further momentum after a court decision mandated the SEC reconsider its rejection of Grayscale's proposal to transform its Bitcoin Trust (GBTC) into a spot ETF. The SEC’s objection to ETFs is related to the fact that Bitcoin (BTC) is traded in unregulated venues around the world, which poses a challenge in preventing fraud and price manipulation. One attempt to address the issue has included surveillance-sharing agreements (SSA) with some cryptocurrency exchanges. In theory, this would allow the identification of bad actors who attempt to mani...

CME’s notional open interest has surged to $3.57 billion, securing its position as the second-largest exchange in the trading of standard Bitcoin and perpetual futures. The Chicago Mercantile Exchange (CME), a regulated entity, is ascending the ranks among the largest exchanges for Bitcoin (BTC) futures and perpetual futures trading by open interest, evoking memories of the initial phases of the 2020-2021 bull market. According to Coinglass, CME has seen its notional open interest (OI) rise to $3.57 billion, elevating it to the second-largest Bitcoin futures exchange from its previous fourth-place standing just weeks ago. Notional open interest is defined as the U.S. dollar value tied to the number of active or open contracts. Binance, an offshore unregulated exchange, continues to dominate the market with a notional open interest of $3.85 billion, which is about 8% higher than that of CME. However, CME has recently achieved a milestone by surpassing 100,000 BTC in open inte...

Join Our Telegram channel to stay up to date on breaking news coverage The court filing by Grayscale, which was made public on Tuesday, claims that the SEC’s justification for rejecting Grayscale’s request to convert the Grayscale Bitcoin Trust into a spot bitcoin ETF is “flawed” and “inconsistently applied.” The largest cryptocurrency asset manager, Grayscale Investments LLC, said earlier this year that the US Securities and Exchange Commission acted arbitrarily when it denied a request to turn its $12 billion spot Bitcoin trust into an exchange-traded fund. Grayscale claimed in the opening brief of its complaint against the regulator on Tuesday, October 11, that the denial based on the potential for fraud and trickery in the spot Bitcoin market is “arbitrary” and “discriminatory” because of SEC has approved futures-based Bitcoin ETFs, which are subject to the equal concerns. “ That stark arbitrariness canno...