Coinbase Asks SEC to Not Approve More Crypto ETFs
Coinbase’s chief legal officer, Paul Grewal, has strongly criticized a letter from two United States senators urging the SEC to more heavily regulate Bitcoin ETFs and reject any additional crypto ETF applications.
Grewal, in a post published on March 15, denounced the senators’ letter from March 11, which claimed that approving more crypto ETFs beyond Bitcoin could expose investors to “enormous risks.”
“Respectfully, senators, the evidence actually points in the opposite direction,” said Grewal in response.
He went on to explain that the cryptocurrency market, especially for smaller currencies like Ether, had shown quality metrics that even exceeded the metrics of many widely traded equities.
Grewal also pointed out that Ether’s spot market was deep and liquid, with only two S&P 500 stocks having higher notional dollar trading volumes. Furthermore, Grewal provided evidence that both Ether’s futures and spot markets were just as correlated as Bitcoin’s.
