June 15, 2018
Ether investors got a reprieve Thursday when a top U.S. regulator said transactions involving the token aren’t subject to federal securities rules, ending months of speculation that had weighed on the second-most valuable digital currency.
The digital asset itself is simply code. But the way it is sold – as part of an investment; to non-users; by promoters to develop the enterprise – can be, and, in that context, most often is, a security – because it evidences an investment contract. And regulating these transactions as securities transactions makes sense.
It has been fashionable to blame any sudden market crash on the new breed of high-speed traders, but the shock collapse in the value of the pound two years ago may have been caused by more traditional players.
An in-depth US Commodity Futures Trading Commission study found little indication that high-frequency automatic trading is distorting price formation in key commodity futures markets, including energy markets, commission Chairman J. Christopher Giancarlo said earlier this week.
The growing use of artificial intelligence in financial firms will eventually lead regulators to adopt the technology to monitor and manage firms’ automated models, an operational risk executive at a large European bank has said.
“Evidence of bid-ask spread getting lower since the adoption of #fintech #automated trading #HFT, #pension funds, #investors saving hundreds of millions of dollars from #efficiencies”
Speaking at The Wall Street Journal’s CFO Network annual meeting in Washington, Mr. Clayton said that regulators are evaluating how postcrisis rules have performed in practice, and that he had concerns about some of the unintended side effects from some regulations. But any changes will be around the edges, keeping the core of postcrisis overhauls in place, he added.
No one can predict how bad the next financial crisis will be. What’s certain, though, is that a lack of liquidity will make the fallout much worse.
Despite the historic nature of her position, Cunningham isn’t overly eager to cast herself as a trailblazer on a gender-based crusade. “It wasn’t, for me, about breaking glass ceilings or breaking barriers; it was about accomplishing what I set out to accomplish,” she told me in an interview at the New York Stock Exchange last week.
The U.S. Commodity Futures Trading Commission on Thursday urged a federal judge to conclude that an obscure virtual currency called My Big Coin is a commodity subject to its oversight, saying it is no different than precious metals like gold.
Gold sellers are hoping blockchain technology will help win over investors who dismiss bullion as burdensome to own or simply outdated.