DTCC assigns zero collateral to crypto ETFs, reducing financialization risks.
Bitcoin ETFs see $12.5B AUM but face decelerating inflows.
Depository Trust & Clearing Corporation (DTCC) has decided to assign zero collateral value to Exchange Traded Funds (ETFs) featuring Bitcoin or other cryptocurrencies as underlying assets. Effective immediately, these securities will face a 100% haircut, aimed at mitigating risks within the financial system and reducing leverage-based financialization games on Wall Street.
Custodia Bank CEO Caitlin Long has praised DTCC’s decision, emphasizing its role in curbing potential market distortions. Long highlighted the importance of this move in maintaining the integrity of the financial system, particularly in light of growing institutional interest in crypto investment products.
Despite the setback for crypto ETFs in the inter-entity settlement system, their role for lending purposes and as collateral in brokerage activities remains int
We współpracy z: https://thenewscrypto.com/dtcc-decision-sends-shockwaves-through-crypto-etf-market/
