SEC rejects bitcoin ETF in blow to digital currency

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US securities regulators late on Friday rejected an application that would have let the Winklevoss twins list an exchange-traded fund that tracks bitcoin, marking a blow to the digital currency.

The Securities and Exchange Commission said it would not allow the Bats BZX exchange to list shares in the Winklevoss Bitcoin Trust amid concerns that “significant markets for bitcoin are unregulated”.

The ETF would have allowed investors to much more easily trade the digital currency that is controlled not by central banks but computer algorithms.

Bitcoin tumbled by 12.3 per cent to $1,069 following the news from the SEC. It had hit an all-time high of $1,277.7 on Monday.
Tyler and Cameron Winklevoss are entrepreneurs who have focused significant attention on bitcoin. They are perhaps most famous for alleging that Mark Zuckerberg stole their idea when he launched Facebook

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