SEC agrees to review Valkyrie’s spot Bitcoin ETF application; Meme tokens failed to pass FCA’s radar;FTX Australia license revoked.
The spot Bitcoin ETF application frenzy, launched by asset management company BlackRock on June 15, has virtually redistributed the cards in the cryptocurrency industry. Encouraged by BlackRock’s ETF application, many companies queued up.
The US Securities and Exchange Commission (SEC), which first announced that it accepted Bitwise’s ETF application for consideration last week, announced that it will be working on spot Bitcoin ETFs by BlackRock, VanEck, Invesco, Galaxy Digital, Fidelity and WisdomTree in the coming days.
The regulator has now accepted Valkyrie’s spot Bitcoin ETF applications for review.
SEC continues to accept ETF applications
The US Securities and Exchange Commission (SEC), which accepts all spot Bitcoin ETF applications in a row, recently announced that it is working on Valkyrie’s application.
In an official statement yesterday, the SEC agreed to a proposed rule change to list and trade the Valkyrie spot Bitcoin ETF under the Nasdaq.
Bloomberg senior ETF analyst Eric Balchunas shared on his Twitter account that the spot Bitcoin ETF application submitted by Valkyrie has been approved by the SEC.
Also, Valkyrie was the last company to file a spot Bitcoin ETF amid a wave of spot Bitcoin ETF applications.
On the other hand, it is considered a victory for the crypto industry that the SEC has accepted the ETF applications of asset management companies to consider the ETF applications in a short time.
Meme tokens failed to pass FCA’s radar
The UK’s financial regulator, the Financial Conduct Authority (FCA), has also hooked meme tokens this time on the grounds that they do not comply with financial promotion rules. The FCA warned that meme tokens that don’t comply with financial promotion rules could potentially be associated with criminal offenses.
The Financial Conduct Authority (FCA) recently proposed new guidelines that contain clauses on non-compliant meme tokens such as Shiba Inu (SHIB), PEPE, and Dogecoin (DOGE), which are considered financial promotions.
FCA issues warning for meme token promotions
The United Kingdom’s financial regulator, the Financial Conduct Authority (FCA), stated that they have witnessed meme tokens and other similar means of communication circulating on social media that users often do not realize they are subject to the rules.
However, the FCA stated, “We found that meme tokens and other similar means of communication that were found to promote crypto assets were unaware that they were subject to our rules.”
Companies are reminded that any communication may be financial promotion and is subject to S21.
On the other hand, it states that violations of section 21 of the Financial Services and Markets Act 2000 can result in criminal offenses such as imprisonment of up to two years and an unlimited fine. “S21 has a wide regional application and if it can have an impact in the UK, it is valid even if it originates outside the UK,” the FCA said.
FTX Australia license revoked
Australia’s financial services regulator has revoked the license of FTX Australia, the domestic subsidiary of bankrupt FTX in the country.
The Australian Securities and Investment Commission announced on 19 July its license cancellation decision, which took effect on 14 July. FTX Australia will also be allowed to provide limited services while ending transactions with customers until 12 July 2024.
FTX Australia license revoked
In addition, the regulator stated that it will have to make arrangements to compensate customers until the specified time. In addition, FTX Australia had almost 30,000 customers and served 132 local companies.
Last November, the regulator suspended FTX Australia’s license, which allows it to create derivatives and foreign exchange contracts for Australian citizens.
On the same day as FTX’s bankruptcy, volunteer managers from Sydney-based investment and advisory firm KordaMentha were appointed to assist in the restructuring of FTX Australia and its subsidiary, FTX Express.
The restructuring manager of FTX’s global enterprise said in a report submitted to the US bankruptcy court last month that approximately $7 billion in liquid assets had been recovered, but a total of $8.7 billion in client assets was estimated to have been embezzled.
