The crypto regulatory debate: security or not a security (Financial Times)

The immediate popularity of the new bitcoin futures ETF following its debut could shift the regulators into a higher gear. The fastest ETF to achieve $1 billion in assets is a signal that the crypto markets have become too large and are growing too fast, and would therefore demand action by the SEC. But, unlike the ETF, there’s the question of how a crypto asset would be defined under securities regulations and trade within a fully regulated exchange. FrontLine‚Äôs Founder and President Amy Lynch discusses the central question being debated by the SEC – the type of format a crypto asset would take to be deemed a security. Ms. Lynch expects it will take some time before the SEC agrees to approve a direct bitcoin or other type of crypto asset, which would require formal regulatory oversight. See Financial Times, “Hot demand for bitcoin ETF as ‘Wild West’ meets Wall St”