Ex-CFTC Chief says Bitcoin bubble will not burst anytime soon since the industry is still in the very beginning of its development and the majority of institutional money is still holding off on the flowing into the market.
9 March, AtoZForex – There are many people that believe cryptocurrency market bubble is on the edge of bursting. However, there are some industry insiders that are sure of a complete opposite fact. For instance, the ex-Commodity Futures Trading Commission (CFTC) Chairman Jim Newsome, believes that cryptocurrency is not a bubble that is set to burst soon.
Ex-CFTC Chief Says Bitcoin Bubble Will Not Burst Soon
Mr. Newsome believes that the industry is still in the very beginning of its development and the majority of institutional money is still holding off on the flowing into the market. This is due to the turmoil in relation to the future regulatory measures from the global authorities.
In addition, it is noteworthy that the vast majority of mainstream investors are still not involved with cryptocurrency market. Also, many investors who bought at all-time highs back in December 2017 and January of this year have fleeted the market.
As it is reported by some of the online reports, Mr. Newsome is now cooperating with SEC Commissioner Paul Atkins to present “a report on best practices for cryptocurrency token issuers and purchasers.”
It was initially anticipated that the report will be presented at the Digital Chamber of Commerce’s annual meeting. However, the presentation has been postponed thanks to the unexpected complications coming from the underestimation of the complexity of the project. Now, the markets will see the report in two weeks.
US Cryptocurrency Market Regulations
Mr. Newsome has claimed that the SEC Jay Clayton is taking a harsh approach in regards to the cryptocurrency due to rising pressure from the White House and Treasury Department.
Indeed, the SEC has been holding quite a strict stance in regards to the cryptocurrencies. Moreover, the US Congress is still set to provide more regulatory power to the agencies in relation to the digital currency products.
These forecasts emerge after reports from the CME Chief Commercial Officer Julie Winkler. She has stated that the CME Group’s Bitcoin futures trading “has averaged 1.500 contracts a day with about $80 million in notional value since they were introduced December 18.”
She has also highlighted that futures contracts are performing well for Bitcoin.
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