As per an new announcement made by the U.S. Securitiesand Exchange Commission ‘SEC’ yesterday, it has issued an order seeking to halt thetradingof the BitcoinTrackerOne and EthereumTrackerOne exchange-traded notes, issued by XBTsupplierAB which is a Swedish-based subsidiary of the U.K. firm ‘CoinShares Holdings’.
In the official order, the regulatory authority ‘SEC’ noted a “confusion amongst market participants”primarily basedwithin theU.S.on the characterof the financial instrumentsas thereason for this move.
The suspension would be effective as from 5:30 p.m. EDT Sep. 9,and would belasting through 11:59 p.m. EDT till 20th September. Further,tradingon non-U.S. exchangeswon’tbe interruptedthroughoutthis suspension,the notice releaseadvised.
Mentioning further, the notice release further stated that:
“Theprincipal broker-dealerapplication materials submitted toofferthesupplyand saleof thesefinancialmerchandise within theU.S.,including certain trading sites, characterise them as ETF’s. While several other public sources characterise the instruments as ‘ExchangetradedNotes.’In contrast, theestablishment characterises them as ‘non-equitylinked certificates.”
The SEC announcing its release cleared that it was entirely in the public interest and its mandatory lineto always ensurethe ‘protection of investors.’
The news comes nearly a month after, since the Nasdaq Stockholm exchange lived its products back in year 2015,creating a move to U.S. court,statingthatthey’dbe quoted in U.S.U.S. Dollars starting in the mid of the month of Aug.
The CEO at CoinShares Holdings ‘Ryan Radloff’ aforementioned that:
“Everyonethat isinvestinginU.S. dollarswill becurrentlygetting an exposuretheproducts, whereas before this, they weresolelyobtainablein Euros orSwedish krona.”