Gemini CEO Takes a Jab at GBTC, Calls it ‘Toxic Product’ – Crypto News – Crypto News
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Gemini CEO Takes a Jab at GBTC, Calls it 'Toxic Product' Gemini CEO Takes a Jab at GBTC, Calls it 'Toxic Product'

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Gemini CEO Takes a Jab at GBTC, Calls it ‘Toxic Product’ – Crypto News

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2 years ago

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Cameron Winklevoss, CEO of Gemini has publicly criticized the Grayscale Bitcoin Trust (GBTC) in a series of tweets, referring to it as a ‘toxic product.’

Cameron recently took to Twitter to express his frustration with the US Securities and Exchange Commission (SEC) regarding the rejection of Gemini’s application for spot Bitcoin Exchange-Traded Fund (ETF) 10 years ago.

The CEO argued that the SEC’s denial has deprived US investors of the opportunity to participate in one of the best-performing assets of the past decade.

Directing Investors to Subpar Products

According to Cameron, the SEC’s rejection of Gemini’s spot Bitcoin ETFs application has driven investors toward suboptimal alternatives, such as the Grayscale Bitcoin Trust (GBTC). He criticized the GBTC for trading at a substantial discount to its Net Asset Value (NAV) and charging high fees.

Additionally, Cameron highlighted that the SEC’s reluctance to approve its Bitcoin ETFs has led to the potential migration of spot Bitcoin trading to unlicensed and unregulated venues outside the United States.

Furthermore, Cameron noted that the SEC’s decision pushed investors into the now-defunct FTX crypto exchange, emphasizing the risks that investors face as a result of FTX’s demise.

Winklevoss concludes by expressing hope that the SEC will reflect on its record and refocus its efforts on investor protection, fair markets, and capital formation. He also extends support to those advocating for the introduction of spot Bitcoin ETFs, indicating his desire for more accessible and regulated investment options for US investors.

Recent Wave of Spot Bitcoin Application

black rock, one of the world’s largest asset managers, has played a significant role in fueling the recent wave of spot Bitcoin applications. The company’s entry into the cryptocurrency market and its exploration of a spot in the Bitcoin ETF have attracted attention and influenced other financial institutions to follow suit.

According to reports, there have been about 30 attempts for a spot-Bitcoin product as of last week. Last week, Coingape media Reported that Fidelity Investments has officially filed for spot Bitcoin ETF after its original applications was rejected by the SEC.

Mooky

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Benjamin Godfrey is a blockchain enthusiast and journalist who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on Twitter, LinkedIn

The content presented may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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