Global investment manager VanEck officially launched its Bitcoin futures ETF on November 16. Named the "VanEck Bitcoin Strategy ETF," it will trade under the ticker XBTF and will invest in BTC futures contracts. However, VanEck\u2019s application for a spot ETF that would trade actual BTC is unlikely. A proposed rule change to allow a spot ETF denied On November 12,\u00a0the U.S. Securities and Exchange Commission (SEC) denied\u00a0the global investment manager's application for a proposed rule change that would have paved the way to list and trade the VanEck Bitcoin Trust. The denial claimed that the party which applied for the rule change, Cboe BZX Exchange, Inc., had \u201cnot met its burden\u2026to prevent fraudulent and manipulative acts and practices\u201d and \u201cto protect investors and the public interest.\u201d The U.S. securities regulator is also concerned with the possible \u201cmanipulative activity involving the purported \u2018stablecoin\u2019 Tether.\u201d This is hardly a surprise, given that SEC chief Gary Gensler recently likened the digital currency industry to the\u00a0Wild West\u00a0and vowed to bring it to heel. Gensler has made no bones about the fact that he views much of the industry as fraudulent and that it needs to change. Going into further detail on why the SEC refused the proposed rule change, the order explains that an exchange can meet its obligations by having a \u201ccomprehensive surveillance-sharing agreement with a regulated market of a significant size related to the underlying or reference Bitcoin assets.\u201d A Bitcoin anarchists worst nightmare Surveillance? Regulation? Could it be that the very things the Bitcoin anarchists vehemently oppose are the same things needed to inject fresh cash into the markets to\u00a0make the number go up\u00a0further? Could it be that\u00a0the institutions are not coming precisely because the BTC industry is run by ideologues who refuse to comply with basic checks to prevent crimes like money laundering and terrorist financing or who want to avoid the required surveillance precisely so that they can continue to manipulate markets at will? We know by now that BTC serves no purpose other than to increase the wealth of existing holders by sucking in fresh fiat currency from retail and the always-promised but never quite arriving institutional speculators. However, if this order is anything to go by, some big changes are going to be needed before the fabled spot BTC ETF becomes a reality. The order further elaborates that the surveillance-sharing agreements are needed to \u201cprovide a necessary deterrent to manipulation because they provide the necessary information to investigate such manipulation if it were to occur.\u201d It\u2019s a Catch-22. Enable regulators to gather the information that will likely lead to the downfall of schemes like Tether and the exposure of the true extent of the manipulation in BTC markets, or don\u2019t, and the much-touted BTC spot ETF will never become a reality. Ouch! Rules and regulations are necessary Once again, we see clear evidence of what we\u2019ve been promoting at CoinGeek since the beginning; regulations and the law are not something to be feared and shunned, but rather are necessary for the industry's growth and advancement stability of the world as a whole. The message consistently heard from regulators is clear: until \u201ccrypto\u201d grows up and complies with the rules, it won\u2019t be able to sit at the big boy\u2019s table. Learn more about Bitcoin investments with this new ebook, Investing in Blockchain: Better data for a better world Follow\u00a0CoinGeek\u2019s Crypto Crime Cartel\u00a0series, which delves into the stream of groups\u2014a from\u00a0BitMEX\u00a0to\u00a0Binance,\u00a0Bitcoin.com,\u00a0Blockstream,\u00a0ShapeShift,\u00a0Coinbase,\u00a0Ripple\u00a0and\u00a0 Ethereum\u2014who have co-opted the digital asset revolution and turned the industry into a minefield for na\u00efve (and even experienced) players in the market.