security 2910624 1920The US Securities and Exchange Commission has temporarily suspended trading in the securities Bitcoin Tracker One “CXBTF” and Ether Tracker One “CETHF” because of confusion on these securities among market participants. Pursuant to Section 12(k) of the Securities Exchange Act of 1934 (the “Exchange Act”), the suspension notice was released by the SEC on September 9, 2018 which started 5:30 p.m. EDT of that date to 11:59 of EDT of September 20.
The SEC further cautioned broker-dealers, shareholders, and prospective investors to carefully consider all available information and any information issued previously by the SEC.
Also, the SEC reminded brokers and dealers about the Exchanged Act wherein no quotation may entered until all the provisions of the rule are complied with. The notice also advised that all concerned participants “should refrain from entering quotations relating CXBTF or CETHF securities until such time as he has familiarized himself with the rule and is certain that all of its provisions have been met.”
Since 2015, CXBTF and CETH were listed in Nasdaq Stockholm exchange. Last month, these two products started to enter the US market and was traded under the CXBTF ticker which enabled US investors to invest in an over-the-counter market via the crypto exchange-traded note (ETN).
Bitcoin Tracker One is technically quoted as an overseas debt instrument traded on a US based OTC market.
From Zero to Web3 Pro: Your 90-Day Career Launch Plan
