2 min read 

The Securities and Exchange Commission postponed its decision on whether it would approve a bitcoin exchange-traded fund (ETF) proposed by VanEck and SolidX.

All cryptocurrency markets fell as a result. Bitcoin was down around 5%, trading at just under $6,300. Its value had fallen over $9 billion.

Bitcoin

Investment firm VanEck got together with Solid X, a financial service company, to launch an ETF that is backed by actual bitcoins rather than futures. An ETF is a financial product that tracks the price of an asset and is listed on an exchange. It means that investors don’t have to buy the underlying asset.

This is VanEck’s third attempt to push a bitcoin ETF through, having been rejected by the SEC twice previously. This time, the SEC said that it is pushing out its decision until September 30.

Bitcoin, the world’s largest cryptocurrency by market capitalization or value, has fallen dramatically from the near $20,000 record high it hit in December 2017. But bitcoin has recovered from June, when it fell below $6,000. And interest in the virtual currency appears to have increased. Bitcoin’s share of the entire cryptocurrency market is at its highest level this year and near where it was when the digital coin hit its highest price level in history.

Trade now

NOTE: This article is not an investment advice. Any references to historical price movements or levels is informational and based on external analysis and we do not warranty that any such movements or levels are likely to reoccur in the future.
In accordance with European Securities and Markets Authority’s (ESMA) requirements, binary and digital options trading is only available to clients categorized as professional clients.

GENERAL RISK WARNING

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.
76% of retail investor accounts lose money when trading CFDs with this provider.
You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Recommended for you