Spot Bitcoin ETFs Could Be Approved in 3-6 Months
According to Steven Schoenfeld, former head of International Equity Product Strategy at Barclays Global Investors, the U.S. Securities and Exchange Commission (SEC) is likely to approve all spot bitcoin exchange-traded fund (ETF) applications within the next three to six months. Schoenfeld made this prediction during a panel discussion at the Ccdata Digital Asset Summit. He also believes that the approval of spot bitcoin and ethereum ETFs could bring in $150 billion to $200 billion of capital into these investment products.
Potential Approval Timeline
Schoenfeld initially thought that it would take nine to twelve months for the SEC to approve a spot bitcoin ETF. However, he now believes that the timeline is closer to three to six months. He noted that the SEC’s recent request for comments on spot bitcoin ETF applications shows an improvement in the dialogue surrounding these products.
Impact on the Market
Schoenfeld emphasized that the U.S. institutional market, financial advisor market, and self-directed retail investors are significant in size. Therefore, having accessible products like spot bitcoin and ethereum ETFs will attract a substantial amount of assets from these markets. He estimated that there could be an inflow of $150 billion to $200 billion into these ETFs over three years, which is three to four times larger than the current product set for listed bitcoin.
Consensus on Approval
Other industry experts share Schoenfeld’s belief that the SEC will approve all spot bitcoin ETF applications simultaneously. JPMorgan recently stated its expectation that multiple spot bitcoin ETFs will be approved at once. Additionally, several Congress members have urged the SEC to approve spot bitcoin ETFs without delay. It is also worth noting that former SEC Chair Jay Clayton has expressed that the approval of spot bitcoin ETFs is “inevitable” as institutional investors are eager to access BTC.
Hot Take: The Path to Spot Bitcoin ETF Approval
The anticipation for spot bitcoin ETF approval by the SEC is growing, with experts like Steven Schoenfeld and JPMorgan predicting a positive outcome. The potential injection of billions of dollars into these investment products highlights the immense demand for accessible cryptocurrency investment opportunities. As the dialogue surrounding spot bitcoin ETFs improves and more institutional investors express their interest, it becomes increasingly likely that approval will be granted in the near future. If the SEC does approve these ETFs, it could lead to significant growth and mainstream adoption of cryptocurrencies.
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