Ric Edelman is no longer going to be an advisor to or investor in Bitwise, Edelman told ThinkAdvisor during a Wednesday interview at TD Ameritrade’s National LINC conference in San Diego. Severing his ties “is in process,” said Edelman, chairman of financial education and client experience at Edelman Financial Engines.
The reason? Because Bitwise “is planning to launch a Bitcoin ETF, and if we provide that to our clients, we don’t want that to be a conflict of interest,” Edelman said.
Bitwise filed to launch a Bitcoin ETF with the Securities and Exchange Commission, with the application still pending, Edelman said. “There’s no assurance that the SEC will approve it; the SEC has rejected every application [for a bitcoin ETF] so far. I’m convinced the SEC’s objections will eventually be overcome and that the agency will ultimately approve a Bitcoin ETF.”
As Edelman explained, the SEC has expressed two primary concerns with bitcoin ETFs: custody and price manipulation. “I believe both of those concerns will be resolved to their satisfaction, and probably sooner rather than later.”