Former SEC Chair Predicts Inevitable Approval of Spot Bitcoin ETF

A Bold Declaration by Former SEC Chair

A bold statement has emerged from a former U.S. Securities and Exchange Commission (SEC) Chair Jay Clayton, suggesting that the approval of a Spot Bitcoin Exchange-Traded Fund (ETF) is inevitable, stating that "there's nothing left to decide" in an interview with CNBC today.

An Imminent Breakthrough in Regulatory Landscape

The former SEC Chair's confident proclamation hints at an imminent breakthrough in the regulatory landscape for Bitcoin-related financial products. This assertion aligns with the growing sentiment within the Bitcoin community, eagerly anticipating the approval of a Spot Bitcoin ETF.

Addressing Key Concerns for Approval

"I think approval is inevitable, there's nothing left to decide," Clayton said. "Is the Bitcoin underlying trading market something that is robust enough, efficacious enough, where you can rely on it? It is much better today than it was five years ago."

These statements imply that key concerns or considerations previously hindering the approval process have been sufficiently addressed, paving the way for an inevitable green light from the SEC.

Growing Acceptance and Understanding of Bitcoin

This bold declaration underscores the evolving sentiment within regulatory circles, reflecting a growing acceptance and understanding of Bitcoin. The potential approval of a spot Bitcoin ETF is anticipated to mark a watershed moment in the financial sphere, enabling broader access for traditional investors seeking exposure to BTC through regulated investment vehicles.

Technological Advancements for Product Provision

"The last thing, and I think this is missed, is the technology to actually provide the product," the former SEC Chair continued. "The custodying, the create, the redeem. This is a big step, not just for Bitcoin but for finance generally."

Expected Approval and Trading Commencement

The SEC is expected to approve spot Bitcoin ETFs by the end of day Wednesday. Bloomberg reported yesterday that if approved, the ETFs could be listed and starting to trade as soon as the next business day.

Frequently Asked Questions

What is the tax on gold in Roth IRAs?

An investment account's tax rate is determined based upon its current value, rather than what you originally paid. If you invest $1,000 into a mutual fund, stock, or other investment account, then any gains are subjected tax.

But if you put the money into a traditional IRA or 401(k), there's no tax when you withdraw the money. You pay taxes only on earnings from dividends and capital gains — which apply only to investments held longer than one year.

The rules that govern these accounts differ from one state to the next. For example, in Maryland, you must take withdrawals within 60 days after reaching age 59 1/2 . You can delay until April 1st in Massachusetts. And in New York, you have until age 70 1/2 . To avoid penalties, plan ahead so you can take distributions at the right time.

What is the cost of gold IRA fees

Six dollars per month is the fee for an Individual Retirement Account (IRA). This fee covers account maintenance fees, as well any investment costs that may be associated with your investments.

You may have to pay additional fees if you want to diversify your portfolio. These fees will vary depending upon the type of IRA chosen. Some companies offer free check accounts, but charge monthly fee for IRA accounts.

In addition, most providers charge annual management fees. These fees are usually between 0% and 1%. The average rate for a year is.25%. However, these rates are typically waived if you use a broker like TD Ameritrade.

Which precious metal is best to invest in?

Answering this question will depend on your willingness to take some risk and the return you seek. Gold has been traditionally considered a haven investment, but it's not always the most profitable choice. For example, if you need a quick profit, gold may not be for you. If you have time and patience, you should consider investing in silver instead.

If you don’t desire to become rich quickly, gold may be your best option. Silver might be a better investment option if steady returns are desired over a long period of time.

Can the government take your gold?

You own your gold and therefore the government cannot seize it. You have earned it by working hard for it. It belongs to your. However, there may be some exceptions to this rule. You could lose your gold if convicted of fraud against a federal government agency. Also, if you owe taxes to the IRS, you can lose your precious metals. However, even if taxes are not paid, gold is still your property.

What does gold do as an investment?

Supply and demand determine the gold price. It is also affected negatively by interest rates.

Because of their limited supply, gold prices can fluctuate. Physical gold is not always in stock.

What are the benefits of having a gold IRA?

The best way to invest money for retirement is by putting it into an Individual Retirement Account (IRA). It will be tax-deferred up until the time you withdraw it. You can decide how much money you withdraw each year. There are many types available. Some are more suitable for students who wish to save money for college. Others are made for investors seeking higher returns. Roth IRAs permit individuals to contribute after the age 59 1/2. Any earnings earned at retirement are subject to tax. But once they start withdrawing funds, those earnings aren't taxed again. So if you're planning to retire early, this type of account may make sense.

An IRA with a gold status is like any other IRA because you can put money into different asset classes. Unlike a regular IRA which requires taxes to be paid on gains as you wait to withdraw them, a IRA with gold allows you to invest in multiple asset classes. This makes gold IRA accounts a great choice for those who want their money to be invested, not spent.

An additional benefit to owning gold through an IRA, is the ease of automatic withdrawals. This eliminates the need to constantly make deposits. To avoid missing a payment, direct debits can be set up.

Finally, the gold investment is among the most reliable. Because it isn't tied to any particular country its value tends be steady. Even during economic turmoil the gold price tends to remain fairly stable. This makes it a great investment option to protect your savings from inflation.

Statistics

• If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
• You can only purchase gold bars at least 99.5% purity. (forbes.com)
• Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (aarp.org)
• Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (aarp.org)
• The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (aarp.org)

External Links

bbb.org

• Better Business Bureau(r)
  

finance.yahoo.com

• Yahoo Finance: Barrick Gold Corporation, (GOLD), Stock Prices, News, Quotes & History
  

forbes.com

• Gold IRA – Add Sparkle to Your Retirement Nest Egg
  
• Understanding China's Evergrande Crisis – Forbes Advisor
  

wsj.com

• Saddam Hussein's InvasionHelped Uncage a Bear in 1990 – WSJ
  
• You want to keep gold in your IRA at home? It's not legal – WSJ
  

How To

How to Buy Physical Gold in An IRA

The best way to invest in Gold is by purchasing shares of companies that produce it. This method is not without risks. There's no guarantee these companies will survive. Even if they do survive, there is still the possibility of losing money to fluctuating gold prices.

An alternative option would be to buy physical gold itself. You can either open an account with a bank, online bullion dealer, or buy gold directly from a seller you trust. This option has many advantages, including the ease of access (you don’t have to deal with stock markets) and the ability of making purchases at low prices. It's also easier to see how much gold you've got stored. So you can see exactly what you have paid and if you missed any taxes, you will get a receipt. There's also less chance of theft than investing in stocks.

However, there can be some downsides. There are some disadvantages, such as the inability to take advantage of investment funds and interest rates from banks. You won't have the ability to diversify your holdings; you will be stuck with what you purchased. Finally, the taxman might want to know where your gold has been placed!

Visit BullionVault.com to find out more about gold buying in an IRA.

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By: Nik Hoffman
Title: Former SEC Chair Predicts Inevitable Approval of Spot Bitcoin ETF
Sourced From: bitcoinmagazine.com/markets/former-sec-chair-spot-bitcoin-etf-approval-is-inevitable-theres-nothing-left-to-decide
Published Date: Mon, 08 Jan 2024 16:11:45 GMT

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