A Brazilian professor is receiving flacks from the Bitcoin community for comparing the digital currency with Ponzi schemes and penny stocks.
Jorge Stolfi, professor at State University of Campinas, and a staunch Bitcoin critic, said in an ETF filing that Bitcoin is a “speculative trading asset, and the value of which is “based on expectations of traders”. He went on saying that Bitcoin should be regulated the same way a Ponzi fund or a Penny stock is regulated.
Stolfi’s comments meanwhile went against the US’s notion of treating Bitcoin like properties. The statements, however, were made in response to Bitcoin Exchange Trades Funds (ETFs), which are considered to be a repackaged version of conventional shares. The US Securities and Exchange Commission is currently reviewing regulation requests from certain Bitcoin ETF companies, for which it needed expert comments.
The famed Winklevoss Twins, known for their Gemini Bitcoin Exchange, had floated Winklevoss Bitcoin Shares, a Bitcoin ETF almost two years ago. The regulatory hassles involved with such instruments has prevented them from being listed on Nasdaq or any other market of similar stature.