Two Things To Know About The Crypto Industry's First SRO

In 2013, the Winklevoss twins, among the earliest investors in bitcoin, filed an application with the SEC for a bitcoin ETF. The federal agency rejected their application. The brothers have filed multiple proposals since then but have been rejected each time. In their latest bid to convince the SEC, the Winklevoss twins recently announced the launch of Virtual Commodities Agency (VCA), a self-regulatory organization for the cryptocurrency industry. “We believe adding a layer of oversight on virtual commodity cash markets, in the form of self-regulation, is important for consumer protection and to ensure the integrity of these markets,” the twins stated in a blog post. The association’s launch is a response to the SEC’s concerns outlined in a letter earlier this year. Several concerns in the letter relate to security and internal price setting mechanisms at cryptocurrency exchanges.