Bitcoin Continues to Fall After SEC Postpones ETF Decision
Published Aug 08, 2018 08:37AM ET
Bitcoin slumped on Wednesday.
Investing.com - Bitcoin and other cryptocurrencies were lower on Wednesday after the U.S. Securities and Exchange Commission postponed its crypto exchange traded fund decision.
Bitcoin slumped down 9.21% to a three-week low of $6,494.60 on the Bitfinex exchange as of 8:37 AM ET (12:37 GMT).
The SEC will decide by the end of September if VanEck Associates and Solid Partners can list their Bitcoin-backed ETF, the agency said on Wednesday. The SEC already denied a similar ETF proposal in July.The agency received more than 1,300 comments from the public on the rule change that would be needed in order to list a virtual currency ETF on an exchange.
Digital currencies were boosted earlier in the month amid anticipation that a Bitcoin-backed ETF could get approved this year. Some analysts warn that a digital asset ETF isn’t likely to get approved before 2019.
Cryptocurrencies overall slumped down after the news. The coin market cap of total market capitalization was at $231 billion at the time of writing, compared to $256 billion on Tuesday.
Ethereum, the second-biggest alternative currency by market cap, fell 11.72% to $367.07 on the Bitfinex exchange. Ripple, the third-largest virtual currency, decreased 17.46% to $0.35069, while Litecoin was at $65.751, down 13.90%.
In other news, South Africa is considering an income tax on cryptocurrency trading. According to a draft from the South Africa Revenue Service, the government would consider virtual coins as intangible assets that would be subject to tax. If passed, traders or holders would have to declare any profits or losses from trading as part of their taxable income.
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Written By: Investing.com
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