{"id":3502,"date":"2024-01-01T07:56:26","date_gmt":"2024-01-01T07:56:26","guid":{"rendered":"https:\/\/ethereumcode.io\/etf-fever-gensler-crypto-cautions-latam-weekly-update\/"},"modified":"2024-01-01T07:56:26","modified_gmt":"2024-01-01T07:56:26","slug":"etf-fever-gensler-crypto-cautions-latam-weekly-update","status":"publish","type":"post","link":"https:\/\/ethereumcode.io\/etf-fever-gensler-crypto-cautions-latam-weekly-update\/","title":{"rendered":"ETF Fever Persists, Gensler Cautions on the Unregulated Nature of Crypto Exchange, Latam Update: Weekly Overview"},"content":{"rendered":"
The chair of the U.S. Securities and Exchange Commission (SEC), Gary Gensler, has reiterated earlier warnings about the global crypto ‘Wild West,’ amidst the growing enthusiasm for BTC<\/strong> exchange-traded funds (ETFs). In addition, Blackrock, a prominent asset manager, has announced a plan to initialize its very own ETF with a seed amount of $10 million set for January 3rd.<\/p>\n Gary Gensler, SEC Chairman, has cautioned about the risks of investing in cryptocurrencies, stating that there is a significant degree of ‘non-compliance’ within the landscape of crypto investment. Such non-compliance erodes confidence as many investors find themselves resorting to the bankruptcy court when their investments go awry. Such warnings from Gensler coincide with market anticipation for the imminent approval of spot bitcoin ETFs.<\/p>\n Grayscale Investments has decided to adopt the cash creation model over the in-kind model for its proposed spot bitcoin ETF. Despite this, Grayscale has notified of potential adverse impacts caused by this novel product that has not been tested thus far. The crypto asset manager pointed out that an ETF that only employs cash creations and redemptions without permitting in-kind creations and redemptions could potentially be affected by operational inefficiencies.<\/p>\n In the Latin American region, El Salvador has passed a law that provides citizenship to Bitcoin donors, while Argentina is making provisions for the settlement of crypto-denominated contracts. In another development, President Milei is attempting to deregulate Argentina’s economy.<\/p>\n The leading global asset manager, Blackrock, has declared its plans to inaugurate its spot Bitcoin ETF with a seed investment amounting to $10 million on January 3rd. After having several meetings with the SEC to discuss the matter, Blackrock has chosen to employ the cash creation model instead of the in-kind model which was previously planned.<\/p>\nGensler Warns on Risks of Crypto Investments with Increasing anticipation for BTC ETF<\/h2>\n
Grayscale Introduces Cash Model for Spot BTC ETF, Warns of Potential Adverse Implications<\/h2>\n
Key Updates from Latin America: El Salvador and Argentina Embrace Crypto<\/h2>\n
Blackrock Plans to Establish Spot BTC ETF with $10 Million Seed Investment in January<\/h2>\n
How Can our Ethereum Code App Assist?<\/h2>\n