The founder of Volt Equity believes that United states of america regulators have a fair reason to be deadening in approving a pure Bitcoin (BTC)-related exchange-traded fund (ETF).

Volt Equity CEO and founder Tad Park voiced back up for the U.S. Securities Substitution Commission regarding the regulator'due south unwillingness to approve an ETF that would rails Bitcoin directly.

In a Tuesday Fox Business interview, Park argued that SEC Chair Gary Gensler "actually is pro-Bitcoin" but is also "a petty bit misunderstood" regarding his perspective on crypto regulation in the U.s.a..

Park specifically referred to the SEC's investor protection concerns, namely that crypto custody providers have yet to assure the committee that they tin really ensure proper asset protection:

"I can say 'I have a gold ETF or a Bitcoin ETF,' merely I'm storing that golden in my basement. Is the SEC going to permit that? Probably non. Unless companies can show they can custody it and actually accost a lot of the issues Gensler specifically mentioned, information technology's non going to work."

The CEO added that "at least one-half" of electric current crypto ETF applications with the SEC "are not fifty-fifty valid" because "they are not addressing what Gary Gensler is maxim."

Park emphasized that Volt Equity'due south crypto ETF does not provide direct exposure to Bitcoin just instead tracks major Bitcoin-correlated companies, including MicroStrategy, Tesla, Twitter, Square, every bit well as Bitcoin mining companies such every bit Bitfarms.

"We attempt to become at what people are actually looking for, which is correlation to Bitcoin'south price movement. These companies are actually focusing on Bitcoin and go the bulk of their income and revenues from Bitcoin. It makes sense that they tend to move along with Bitcoin's price," Park noted.

Related: Bitcoin futures ETF will likely be delayed until 2022 says research firm CFRA

Approved on October. i, Volt Disinterestedness'south Volt Crypto Industry Revolution and Tech ETF tracks "Bitcoin Industry Revolution Companies," a listing of firms property a majority of their net assets in Bitcoin or derive a majority of their earnings from Bitcoin mining, lending or transactions.

The SEC has yet to corroborate a pure Bitcoin ETF. On October. one, the SEC extended the deadline for four Bitcoin ETFs, including Global X Bitcoin Trust, Valkyrie XBTO Bitcoin Futures Fund, WisdomTree Bitcoin Trust and Kryptoin Bitcoin ETF. In August, Gensler suggested that the regulator might be open to approving Bitcoin futures ETFs.