Now in crypto, US SEC has approved in-kind transactions for crypto ETPs; Rakbank became the first traditional UAE bank to enable crypto trading for retail users through its mobile app; And hedge fund manager Ray Dalio recommends providing 15% of a portfolio in Bitcoin and gold amid concerns over US debt crisis.
SEC has approved in-kind creations and redemption for crypto ETPs
The US Securities and Exchange Commission (SEC) approved in-kind creation and redemption For products exchanged with cryptocurrency exchange (ETP), which provides authorized representatives of the ability to exchange shares directly for the underlying crypto assets instead of cash.
In a Tuesday announcement, the Securities Regulator said that the approved Bitcoin (BTC) and Ether (ETH) funding were allowed to create and redeem shares on a non -kind basis.
“It’s a new day in the SEC, and a top priority of my chairman is developing a suitable regulatory framework for crypto asset markets,” Chairman Paul Atkins said in a statement.
Atkins said the new policies will make crypto ETPs “less expensive and better.”
“In-kind creation and redemption provides flexibility and thrift cost to ETP providers, authorized participants, and investors, resulting in a better market,” said Jamie Selway, Director of the Division of Trading and Markets in Sec.
In the context of the approved funding area exchanged by Crypto Exchange (ETF), In-kind redemptions Allow investors to receive underlying owners, such as Bitcoin or Ether, rather than cash when redeeming shares.
This method is usually considered better, as it allows authorized funding participants to prevent the sale of property in the market, which will potentially reduce transaction costs.
Rakbank became the first UAE Bank to offer crypto trading for retail
National Bank of Ras Al Khaimah (Rakbank), a government owned bank in the UAE, is the country’s first conventional bank to Offers a crypto trading retail.
On a news release on Tuesday, the bank announced Launching a crypto brokerage service via the mobile banking app, which allows customers to buy, sell and change cryptocurrencies directly from their UAE Dirham accounts.
“We acknowledge the opportunity this solution will provide to UAE customers, because we believe they deserve a better and seamless crypto purchase, sale and travel transformation that is fully controlled and completely AED (Dirhams),” said Raheel Ahmed, CEO of the Rakkank Group.
The new offer was strengthened by Austria -based Bitpanda, with transactions facilitated by Bitpanda Broker Mena DMCC, a Virtual Asset Regulatory Authority (VARA) -regulated entity in Dubai.
Rakbank said customers can exchange crypto without having to transfer funds to an external exchange or converting between fiat currencies, deleting foreign exchange fees. Integration uses the infrastructure of the Bitpand to perform the goods and manage the care.
“We are proud to be the first conventional UAE bank to enable simple, secure, and regulated access to a digital class platform,” Ahmed said.
Ray Dalio suggests put 15% on Bitcoin, gold in the middle of the “Debt Doom Loop”
American Billionaire and Hedge Fund Manager Ray Dalio has Recommended a 15% portfolio allocation in Bitcoin or gold to be optimized for the “best return-to-risk ratio” to American debt light problem and lowering money.
“(If) you optimized your portfolio for the best-pilgrimage ratio, you will have about 15% of your money in gold or bitcoin,” the founder of Hedge fund firm Bridgewater Associates Says In a look on the master investor’s podcast on Sunday.
Dalio said he had “some Bitcoin, but not much,” and “Bitcoin still preferred gold,” however.
But the exact division between Bitcoin and gold “is up to you,” Dalio said. His 15% suggestion marks a sharp increase from 1% to 2% Bitcoin allocation He recommended in January 2022.
