When will we get a Spot Bitcoin ETF? Ric Edelman asks the SEC’s Caroline Crenshaw

I would say that some projects are more transparent than others, but even those projects that disclose information about themselves or their experience, their partners and customers without registering, there is not necessarily anyone who can confirm that any of their claims are true .

The blockchain is very transparent when it comes to certain limited types of data. So, for example, the time and number of transactions and the addresses of those who carried out transactions – all completely transparent. But it does not reveal the identity of those carrying out transactions or, for that matter, any other arrangements or connections they may have off-chain.

And I think it’s just a reminder that compliance is more than a legal obligation. It is a marketable commodity that improves confidence and resilience and allows for more accurate pricing.

The SEC has had a number [bitcoin ETF] applications, but have not accepted any of them yet. Let us know your thoughts on its potential. Will there ever be a bitcoin ETF, or should investors just stop asking?

I cannot speak too much of the internal deliberations of the Securities and Exchange Commission. So I’ll just say we’ll see what all the applications say.

One last question. What are you optimistic about crypto and what are you pessimistic about?

A bit of optimism: I think disintermediation has the potential to reduce errors and costs for retail investors. I think there’s a lot of research and development going on, and the potential is there for this to really improve elements of investing or trading in ways that we haven’t even considered. That is a very critical part of this.

I don’t know where this is going, but I think there are some interesting and cool possibilities. We may not yet have decided on crypto’s killer app, but the lessons learned today will allow us to take better advantage of it when it appears to be.

Concerns: Unless and until I think we can have a market where people have some basic information about these tokens, these platforms, these projects, we won’t be able to develop and grow as much as we want, because it always is going to be the issue of fraud, accuracy and how we get to market adoption. I think we need some really basic fundamental protections that the SEC has put in place for all other securities.

Ric Edelman is an author and founder of RIA Edelman Financial Engines (formerly Edelman Financial Services). He now chairs the Digital Assets Council of Financial Professionals, or DACFP, which recently formed a strategic partnership with the Financial Planning Association to provide educational programming and content to help FPA members understand the complexities of cryptocurrencies and how these issues can impact clients’ financial plans.