Breaking Crypto News – Unraveling the Controversy: Polymarket Ethereum ETF Bet Backlash
Breaking Crypto News – Users of Polymarket, who bet against the approval of spot Ether ETFs and lost money, are blaming the decentralized betting platform, claiming that the bet is still open. Over $13.2 million was wagered on one betting market on the blockchain platform regarding the approval status of an Ether ETF by May 31st, but the definition of “approved” was not made clear.
On May 23, the market concluded with a “Yes” result following the SEC’s approval of the 19b-4 filings for several Ether ETFs. The verdict was momentarily contested but ultimately resolved with the same “Yes” response, according to Polymarket’s logs. However, those who voted “No” contend that the decision was erroneous, stating that a United States ETF cannot be allowed unless it has both an approved 19b-4 file and a Form S-1 filing to begin trading on an exchange. The SEC may take months to approve the S-1s, which some “No” voters may have placed their money on, according to analysts.
No Voters Reacted Harshly to the Poll Results
The well-known “No” bidder “JustKen,” who renamed themselves “RevengeTour19B4” following the controversy, cited a post on X from VanEck’s digital assets research head Matthew Sigel stating that “ETFs are not considered ‘approved'” unless the SEC has cleared both the S-1 and the “19b-4 filing.”
Additionally, the disgruntled investors cited Bitwise Investment Chief Matt Hougan’s statement on the Unchained podcast, in which he claimed that ETFs represent a “nuclear key scenario” in which an issuer must “turn” the 19b-4 and S-1 for approval. Conversely, individuals who supported the winning “Yes” side argued that the ETFs did not need to begin trading by May 31; rather, they said that the market stipulated “approval.”
FAQ
What is Polymarket?
Users can wager on global events on Polymarket, a decentralized prediction market platform. To place a wager on the possibility that future events will occur, users purchase and sell shares using cryptocurrencies.
Has ETH ETF Been Approved?
The 19b-4 forms for Ethereum ETFs, which come in the shapes of offerings from Grayscale, Fidelity, and BlackRock, were approved by the SEC. However, the effective date of these items’ S-1 registration statements is required before they can be traded.
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