Anticipation regarding approval of a Spot Bitcoin Exchange-Traded Fund (ETF) in the United States has continued to fuel the cryptocurrency market, with recent developments promoting renewed hope.
A significant stride has been taken in this direction as the U.S. Securities & Exchange Commission (SEC) placed six applications of Spot Cryptocurrency ETFs under review. Some of the notable companies entering the crypto battleground with the intention to roll out such an ETF include Big Market Players like BlackRock and Fidelity Digital Assets, increasing ecstasy among investors in the virtual asset space.
A brief glance at SEC’s action notes that among the applications received are those filed by BlackRock, VanEck, WisdomTree, Fidelity Digital Assets, Bitwise, and Invesco. Interestingly, if one traces SEC’s history, the governing frame had declined applications pertaining to ETFs backed by Spot Bitcoin previously, intensifying futility prospects.
Speculations in favor of possibility of approval surged after the intent publically conceded by Jay Clayton – the former SEC Chairman – early November. He voiced optimistic outlook and added if the entrusted parties could truly demonstrate that the spot market is as reliable and efficient as the virtual futures market, it would be challenging for the SEC to not exhaust the proposal.
Furthermore, the ETF application filed by BlackRock with the SEC took Game-Changing Impact to the next level. Mapping BlackRock’s timeline in approving prior ETFs to till date measures a noteworthy 576 registered with the question yet ending up ‘Significantly Rejected’ in ideal encasement…just at one.
The acceptance of Spot Bitcoin ETF will bear manifold blessings as Mike Novogratz – the founder of Galaxy Digital termed- ‘Trig period of Massive Adoption’ amidst otherwise resistant investors into the Digital Space of Taxonomy of Blockchain. Such a development would increase the investiverse offering protection and direct exposure currency virtual asset, enticing wayfarers from both institutional and retail speculators.
