1. Home
  2. News
  3. Regulation

How a Positive SEC Decision Could Change the Crypto World

News
How a Positive SEC Decision Could Change the Crypto World

As we reported back in July, the SEC has delayed its decision on whether to approve a Bitcoin ETF until September. There is an optimism in the industry, though, that the decision will be positive.

Supporters of an “optimistic” approach agree on three major reasons why a positive SEC decision could become a game changer. First assumption is that cryptocurrency price will see a significant increase; a parallel with a gold ETF launched in 2003 is given. Back then, the price of gold skyrocketed following the decision to launch an ETF. Another trigger for pulling the price up is a massive increase of institutional money flowing into the crypto market.

The second assumption is that an ETF will make cryptocurrencies more accessible. Current limitations preventing crypto’s mass adoption include confusing cryptocurrency exchanges, complex crypto wallets, lack of insurance protection, high volatility and a lack of easy-to-access information. The launch of an ETF will address these issues, especially in terms of security and protection. Again, this could become a significant incentive for institutional investors.

The third assumption is that an ETF will boost the development of a new investable asset class. Portfolio diversification is one of the most efficient strategies for long-term investors. To eliminate risks and to boost the potential of a larger ROI, assets within a portfolio should not be correlated with each other. Bitcoin has previously showed its low correlation with other assets, thus becoming a lucrative option for a diversification.

13 Aug 2018

Subscribe to our newsletter

Our newsletters are sent on a regular basis and are aiming to provide you most overall market situation

Latest news

Ripple Overtakes Ethereum To Become Second After Bitcoin

Ripple (XRP) has overtaken Ethereum...
22 Sep 2018

New Token Listings: VeChain and Gemini USD

New Token Listings: VeChain and Gem...
21 Sep 2018

New Release: Fortuna

Fortuna has launched a beta version...
21 Sep 2018

ICORating Is Media Partner For Crypto Economy World

Crypto Economy World is a series of...
21 Sep 2018

ICORating To Participate In Blockchain East Summit

The Blockchain East Summit and Trad...
20 Sep 2018

ICORating Announces Collaboration With Binance Info

ICORating and Binance Info are now ...
20 Sep 2018

New Token Listings: ChainLink and Waves Platform

Trading pairs of initial coin offer...
20 Sep 2018

New Releases: Remme And Tezos

Remme and Tezos have officially lau...
19 Sep 2018

Poloniex To Delist Assets On September 25

Poloniex crypto exchange is set to ...
19 Sep 2018