Two US firms shelve bitcoin ETF proposals over regulatory concerns

Two US companies shelved proposals to launch bitcoin exchange-traded funds, citing ongoing concerns by the Securities and Exchange Commission (SEC), filings showed on Monday.  

Staff at the regulatory agency "expressed concerns regarding the liquidity and valuation" of futures contracts based on the digital asset, according to one of the filings.

The move adds a new hurdle to the bid by Wall Street firms to capitalise on investor interest in cryptocurrencies, and it opens a rare public divergence between two financial regulatory agencies over how to regulate them.

Trusts controlled by Rafferty Asset Management LLC and Exchange Traded Concepts LLC each cancelled plans