SEC’s Bitcoin ETF Approval will Boost Crypto Market
The entire crypto community is waiting for the approval of Bitcoin exchange-traded funds (ETFs). Since last year, more than 9 ETFs have been rejected by the United States (U.S) Securities and Exchange Commission (SEC).
“What investors expect is that trading in the commodity that underlies that ETF makes sense and is free from the risk of manipulation,” … “It’s an issue that needs to be addressed before I would be comfortable.”
The cryptocurrency ecosystem has an adequate number of issues, including the lack of popularity and dominance among the public. Several crypto investors are afraid of working with a new kind of asset, and ETF is to some extent a common financial tool.
When they are introduced, then it will largely allure massive investors to the market that are fond of dealing with the traditional financial assets.
Crypto Maniacs Waiting BTC ETF Adoption
This means investing in BTC ETF will be bereft of multiple problems which users are currently experiencing: registration of a crypto wallet (remember password, phrase recovery, save private keys, etc.); registration on one of the digital currency exchanges; and a worry for the safety of own cryptocurrencies (hacks, impostors, lost private keys, etc.)
All these aforementioned tones are a major impediment for a massive number of investors to penetrate the blockchain and cryptocurrency market since they dislike spending their useful time analyzing technical aspects.
In addition, several analysts believe that the rollout of BTC exchange-traded funds will trigger institutional investors into the sector and they will help boost the total market cap. The arrival of Bitcoin “whales” will act as a major ingredient for the future unstoppable boom of the crypto market.
Mixed Reactions in the Industry
The cryptocurrency enthusiast Andreas M. Antonopoulos has been intensely opposed to the approval of Bitcoin ETF. He thinks that this is a “terrible idea” considering the fact that such funds controvert the initial principles of cryptocurrencies i.e., decentralization. After the approval of Bitcoin ETF, a weighty number of potential investors will have pressure levers on the crypto market and will be in a position to subject it to hostile manipulation.
Bitcoin ETF Soon to be Approved
According to Matthew Hougan, lead researcher at Bitwise, digital currency infrastructure has developed considerably over the past one year. Regulated futures also appeared, large financial service providers like Bakkt and Fidelity Digital Assets entered to the industry. All these key points will certainly be considered by the SEC staff.
Bitcoin ETF is definitely one of the most discussed subjects in the crypto sector over the past 12 months. The irresistible majority of market members are optimistic about the approval of Bitcoin ETFs.