ASIC says it will regulate slippery crypto assets
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The news: ASIC chair Joe Longo says the regulator won't hesitate to act on financial crypto products that don't fit snugly into current financial product definitions. The warning comes as the federal government announced its proposal for crypto regulation in Australia, and the hint of a potential bitcoin ETF in the US that lifted the price of the cryptocurrency.
The numbers: Bitcoin was trading at USD27,897 on Monday afternoon, up more than 4% since Friday afternoon.
The context: Cryptocurrency regulation was a hot topic on Monday after the US Securities and Exchange Commission (SEC) on Friday announced it would not appeal a court loss over its decision to deny the Greyscale's application to turn its Bitcoin fund into an exchange traded fund (ETF). Investors believe this increases the likelihood of a bitcoin ETF in the future, providing a legitimised and exchange tradeable security, the first of its kind to break out of the "wild west" of the cryptocurrency space.
What they said: "We won’t hesitate to act on any cases we think involve financial products that seek to avoid current regulatory standards," ASIC chair Joe Longo said in a speech.
"Crypto must be held accountable to the same high standards we expect of everyone else."
The source: ASIC Speech
