Macroeconomist Raoul Pal believes that US SEC Chairman Gary Gensler does not want to close all encryption businesses in the United States. It is widely believed that his selective bias against some mainstream companies is hurting the crypto market.
The iShares department of the fund management giant BlackRock recently submitted the application documents for the iShares Bitcoin Trust to the US SEC. The fund assets will consist primarily of bitcoin held by the custodian on behalf of the trust.
Previously, the company launched a spot bitcoin private trust in 2022. In this context, investment strategist Raoul Pal believes that Gary Gensler’s actions in cryptocurrency are not intended to catch all.
Pal agrees with XRP attorney John Deaton that Gensler is in cryptocurrency enforcement mode to gain some market share for incumbents before full regulation begins.
He noted that Gensler would approve BlackRock’s bitcoin ETF application and get Prometheum to demonstrate that he would not ban crypto businesses entirely. It’s all politics, and at the end he’s giving Wall Street some sugar so he can imply they’re more trustworthy.