Two Democratic senators argue that any further approvals would expose investors to risks including “fraud and manipulation.”
Two United States senators want Gary Gensler to pull the pin on any further crypto exchange-traded funds (ETFs), citing “enormous risks” to retail investors.
In a March 11 letter, Democrat senators Jack Reed and Laphonza Butler claimed that allowing any further approvals of crypto ETFs by the Securities and Exchange Commission would see investors exposed to “thinly traded” markets rife with fraud and manipulation.
There are eight proposed spot Ether ETF applications awaiting approval by the SEC, and there have been hopes that other altcoins could eventually walk the same path.
