Commentary

Erik Hoel
Traders Magazine Online News

Will The Bitcoin Bubble Pop Or Will It Envelop Us All?

Guest contributor Erik Hoel asks the question whether the worst is over for bitcoin holders, or still yet to come, what is yet to come? And why.

Traders Poll

In your opinion, what is the biggest hurdle facing the blockchain?

Cost of implementation

17%

Too many systems available

23%

Not applicable to my business

3%

Uncomfortable with the technology

33%

Nobody else is using it

23%

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June 20, 2005

Bargain Basement Trading

By Gregory Bresiger

The cost of conducting business will decline a bit beginning in October. That's because Section (31) fee rates will be going down this fall by about 27 percent. They will decline from $41.80 per million dollars to $30.70, according to the Securities and Exchange Commission.

The Section (31) fee-which generally applies to exchanges and over-the-counter markets-is used to finance the costs of regulation. It was reformed several years ago to ensure that the fee didn't take in more money than was needed to fund regulatory costs.

When trading volume is rising, the rate usually can be cut. And when the reverse happens, it usually rises, according to a spokesman for the Securities Industry Association.

"The rate cut shows that the system is working and that firms aren't paying more than they should," he added."And that's a good thing."