Binance’s $4B settlement the green light for spot Bitcoin ETFs?

[adaseb]

Yeah it’s basically what happened when Bitmex went down and we got that huge rally because it gave the go ahead for the COIN IPO and the Bitcoin futures etf to be listed on the stock market for anyone to buy.

Bianance had too much control and they worried that if someone took over the market it could cause a massive destruction of the financial system because if many funds were leveraged on the bitcoin etf and it crashed it would cause massive margin calls and set off a cascade of losses.

[Hamza2424]

what it actually means
there is no ability anymore for SEC to just decline without reason anymore.. (the courts sorted that out due to the grayscale case,
however they can deny ETF that dont meet the criteria

Hmm, I do realize this but still, what I'm trying to say is they've cleared their position but still they haven't approved it, which directly indicates they just want to delay the time to endorse some of their terms & conditions.

out of the 12 not all of them do. so some can be denied
the november 17th event was not a deadline to announce any approvals
it was a date of communication with some etf's applicants where the SEC gave some advice to some etf applicants about some obvious issues the SEC found

Hmm, the 17th was not a deadline I know that but it was highly expected that maybe all of ETFs were going to be approved once, it was unreal but still there was decent hype.  Some can be denied but after a denial, they can fill out the application again on the same model as the approved one did.

[franky1]

what it actually means
there is no ability anymore for SEC to just decline without reason anymore.. (the courts sorted that out due to the grayscale case,
however they can deny ETF that dont meet the criteria

Hmm, I do realize this but still, what I'm trying to say is they've cleared their position but still they haven't approved it, which directly indicates they just want to delay the time to endorse some of their terms & conditions.

out of the 12 not all of them do. so some can be denied
the november 17th event was not a deadline to announce any approvals
it was a date of communication with some etf's applicants where the SEC gave some advice to some etf applicants about some obvious issues the SEC found

Hmm, the 17th was not a deadline I know that but it was highly expected that maybe all of ETFs were going to be approved once, it was unreal but still there was decent hype.  Some can be denied but after a denial, they can fill out the application again on the same model as the approved one did.

not all 12 meet the same standard so the "all 12 at once" was never a decent expectation.

some wanted easy swaps direct to btc for share holders
some wanted easy swaps direct to btc for agent basket holders
some had share-fiat but didnt describe the process to close the basket of shares to unlock basket of btc to sell for cash in an effective way to cover the cash value of shares
some havnt described how to limit the occasions/ease of closing a basket of shares for fiat

there is still lots of details the SEC needs to thrash out with the applicants

but yes. once a applicant is accepted to meet minimal/precedent of standards the others will copy that template and re-file to fast-track their own efforts

there are other considerations between the applicants

many people think if one is approved the agents will rush to buy baskets, sending the spot price soaring.
however there are different scenarios depending on who is approved

grayscale has 600k btc. they wont want to have agents join them to sell shares because thats competition. grayscale would want to sell their own shares before allowing agents onboard to add baskets of allotments of new shares.

however shares21(ark) only has 150btc. so if they are approved they will be advertising to get agents to buy btc to add baskets to their proposition

[CryptounityCUT]

There is not yet a green light for the approval of Bitcoin Spot ETF, but if it is approved, the price will skyrocket, as it did with the Gold ETF. However, the real question is, is it good for Bitcoin to be a part of an ETF? Was ETF approval good for Gold?

We will need to see another layer added to Bitcoin Spot ETF to increase gaining percentage among investors. Similar to Gold, it is somewhat stuck where it is. Of course, the supply cannot be measured as it can be with Bitcoin, but the $/Gold oz. price will push higher when crypto payment for Gold is accepted. Until then, we can forget that the price can double in 10 years. The same will happen with Bitcoin; it will skyrocket, but in the next 10 years, the price will establish a top, and it won't move with such force as it will when the ETF is approved (if it is). So, we will need another layer to keep pushing the price up as significantly as it was in the past.

[el kaka22]

I believe that it is not really a green light directly, but indirectly we could say that it's definitely not a red light. I can't say that ETF is looked at right now in a good manner and will be accepted, but I can easily say that ETF is not looked at like they want to reject it at all, and that's a good thing. When you have options of "doing good vs doing bad" and suddenly that turns into "doing good or staying same" that is an improvement as well, I think this is clear indication that it is not getting rejected, maybe postponed again, maybe fixed some things, maybe some issues, but it is not getting rejected and that's an important information for me.

I believe that as long as we have that kind of return, that means we would be able to actually get it approved one day, not rejecting and sending it back with some issues means that "fix these and come back so we can accept it" and not just rejection, that's a great improvement on where we are standing right now.

[JayJuanGee]

Recently I've heard some statements from the SEC's side that they are pointing they have no reason to stop the approval.

what it actually means
there is no ability anymore for SEC to just decline without reason anymore.. (the courts sorted that out due to the grayscale case,
however they can deny ETF that dont meet the criteria

That was nothing new from the 17th November's development,it was clear SEC has no issue with the spot ETF of the Bitcoin, and they are just looking for a good time why? even I'm not sure about it.

out of the 12 not all of them do. so some can be denied
the november 17th event was not a deadline to announce any approvals
it was a date of communication with some etf's applicants where the SEC gave some advice to some etf applicants about some obvious issues the SEC found

I just find it amazing that the SEC would approve a Bitcoin ETF at all considering the Tether problem was never really addressed, there wasn't a proper audit as far as I can tell. If you check the Blackrock fillings they included on the pdf what's basically disclaimers about the risk of tetherings going on that could cause in loses for investors. So if they approve this they don't really care about that. I've always thought that if they approve a Bitcoin ETF, is because they have a plan to try to use it to control it in some way, probably via liquidity, then try to influence exchanges and miners into a Blackcoin of sorts.

From my understanding Tether went through quite a bit of scrutiny by various US entities, and they fought lawsuits and they settled lawsuits in NY, and at the same time, they did not have any criminal charges, so I doubt that Tether has any real problems with collateral and/or audits.. They also had some pretty extensive runs on their bank too.. and they survived those bank runs pretty well, at least so far.

Tether FUD has been a popular thing since 2016 or so and maybe even since their introduction in 2014, but at the same time, they have grown stupendously, and surely there are likely some concerns from US status quo financial incumbents in regards to how Tether continues to gain market share and they are even going to start mining in South America with something like a $500 million initial investment into mining.  Tether seems to be doing quite well and surely scary for some folks who would like to control it some more, but my understanding is that they are frequently cooperating with freezing funds and maybe even restricting some kinds of access points.

The Binance $4B fine is more related to the status of the FTX claims than it is the ETF. I am quite sure that I've read that this $4b will be going toward FTX. Sounds ridiculous for the money flow to work like that, but go ahead and dig into that yourselves (or PM me if you want me to find the sources later)

The ETF is a long, bureaucratic process that should not expected to be finished in 2023....ESPECIALLY if institutions need to take the SEC to court to be able to have it filed, and I think we should be assuming this in my opinion. When FTX claims are done, then expect the ETF to be a step closer. The industry needs to be clean first...mtgox and ftx mess (and whatever mess is left or yet to occur with binance) is yet to be completed before ETFs go live - this is my projection of how things are going to be ordered anyway.

This is not a clawback claim in regards to FTX, but instead various kinds of fines against Binance for its allowing of money laundering. And, so if FTX makes a separate claim to clawback, then I am pretty sure that Binance would fight that to the extent that there is even any kind of supportable clawback claim that would amount to up to 4 billion.. ..

There is not yet a green light for the approval of Bitcoin Spot ETF, but if it is approved, the price will skyrocket, as it did with the Gold ETF. However, the real question is, is it good for Bitcoin to be a part of an ETF? Was ETF approval good for Gold?

We will need to see another layer added to Bitcoin Spot ETF to increase gaining percentage among investors. Similar to Gold, it is somewhat stuck where it is. Of course, the supply cannot be measured as it can be with Bitcoin, but the $/Gold oz. price will push higher when crypto payment for Gold is accepted. Until then, we can forget that the price can double in 10 years. The same will happen with Bitcoin; it will skyrocket, but in the next 10 years, the price will establish a top, and it won't move with such force as it will when the ETF is approved (if it is). So, we will need another layer to keep pushing the price up as significantly as it was in the past.

There is no evidence to support that BTC is deviating from it's four year cycles.   Sure it could happen, but I would think that it is safer to presume the existence of a 4-year cycle rather than to completely ignore it and start to believe that BTC has some other force behind it that is yet to be seen.

[arhipova]

One crypto executive predicted five months ago that spot Bitcoin ETFs would only be approved after Binance lost ground on its market dominance. Binance’s $4.3-billion settlement with the United States was the final hurdle before the country’s securities regulator approves spot Bitcoin exchange-traded funds (ETFs), many industry watchers claim.

The settlement to Justice Department and Treasury compliance monitors for up to five years, allowing the agencies sweeping powers to keep the exchange in line with Anti-Money Laundering and sanctions rules, among other things.

The U.S. Securities and Exchange Commission has cited market manipulation when denying spot Bitcoin ETFs, and Binance’s market dominance had to take a hit before BlackRock’s spot BTC ETF application would be approved, according to a June X Twitter post by Travis Kling, chief investment officer of Ikigai Asset Management.

Source

Binance is bigger than that. When crypto will explode, the transactions on binance will also explode which will mean that their revenue will also increase by a lot. They can even best top companies in terms of profitability and yearly revenue. 4 billion is not going to end them or make them look smaller. You should always think about long term scenario. I also feel that current CEO might come back on the board in the future when matter has cooled down.

[bbc.reporter]

One crypto executive predicted five months ago that spot Bitcoin ETFs would only be approved after Binance lost ground on its market dominance. Binance’s $4.3-billion settlement with the United States was the final hurdle before the country’s securities regulator approves spot Bitcoin exchange-traded funds (ETFs), many industry watchers claim.

The settlement to Justice Department and Treasury compliance monitors for up to five years, allowing the agencies sweeping powers to keep the exchange in line with Anti-Money Laundering and sanctions rules, among other things.

The U.S. Securities and Exchange Commission has cited market manipulation when denying spot Bitcoin ETFs, and Binance’s market dominance had to take a hit before BlackRock’s spot BTC ETF application would be approved, according to a June X Twitter post by Travis Kling, chief investment officer of Ikigai Asset Management.

Source

It is also being predicted by some people in social media that the new king of the cryptospace to replace CZ will be Brian Armstrong. There is a partnership between Blackrock and Coinbase already. The exchange was selected to be the custodian for Blackrock's bitcoin for their ETF. It will also not be shocking if Blackrock owns Coinbase stock and do everything they can to make Coinbase the most dominant exchange. This will certainly be good for their investment hehehhe.

Also on CZ, it appears that he has requested the judge to allow him to leave American jurisdiction and return to United Arab Emirates. The skeptical me is thinking that he will not return because UAE doesn't have an extradition treaty with America. He might also go to China and hide behind the powerful Chinese elders.



Former Binance CEO Changpeng “CZ” Zhao has opposed the United States government’s efforts to block his return to the United Arab Emirates (UAE) to be with his family while awaiting sentencing following his guilty plea.

Source https://cointelegraph.com/news/changpeng-cz-zhao-us-government

[adaseb]

They should just let him go back. I highly doubt that he is a flight risk. Look what happened with Arthur Hayes. He just got probation or house arrest if I recall.

SBF is in jail because he stole billions, CZ never stole anything. I don’t even think he will even go to jail most likely banned from trading or running any crypto exchanges.