Can Bonk Have Its Own ETF? Gary Gensler Responds to Jim Cramer on CNBC

In a recent interview with Jim Cramer, host of CNBC’s Mad Money, Gary Gensler, chairman of the U.S. Securities and Exchange Commission (SEC), discussed recent developments and future possibilities regarding exchange-traded funds (ETFs). of cryptocurrencies. During the conversation, which took place on Wednesday, Gensler discussed the recent approvals of ETFs for Bitcoin and Ethereum, as well as the viability of ETFs for lesser-known cryptocurrencies such as SushiSwap (SUSHI) and Bonk (BONK).

Cramer, always insightful, raised a series of questions about several coins that saw significant capital movements that morning, including Cardano, Cosmos, Immutable, Ronin, and MyNeighborAlice. Asked about the possibility of ETFs for these assets, Cramer asked: “Now, in two weeks, should we have a SushiSwap ETF?” He went on to suggest that Bonk and Osmose, who also traded millions of dollars, should have some sort of representative product in the ETF market.

The year is 2024

Jim Cramer is asking Gary Gensler if we should have a BONK ETF on CNBC

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Gensler, cautious in his responses, did not commit to a direct answer, but stressed that many crypto tokens “have not provided the disclosures necessary to make investment decisions.” This observation suggests a classification of these tokens as unregistered securities, which complicates the approval of related ETFs.

Additionally, the SEC chairman expressed concerns about the practices of some cryptocurrency exchange platforms, comparing them unfavorably to operations that would not be permitted on the New York Stock Exchange. Gensler also recalled recent bankruptcies in the cryptocurrency space and mentioned that market leaders face serious legal problems, including arrests and extradition proceedings.

Regarding the approval of Ethereum spot ETFs, Gensler commented that it will still “take some time” before registration statements are approved for listing on public exchanges. In contrast, a representative from asset management giant BlackRock recently stated that the company has little interest in launching ETFs focused on altcoins, with Bitcoin remaining the top priority for its client base.

Disclaimer:

The views and opinions expressed by the author, or anyone mentioned in this article, are for informational purposes only and do not constitute financial, investment or other advice. Investing or trading cryptocurrencies carries a risk of financial loss.