US Regulators May Approve Spot Bitcoin ETFs in January, Potentially Bringing $200 Billion to the Industry
According to former BlackRock director Steven Schoenfield, spot Bitcoin exchange-traded funds (ETFs) may receive approval from US regulators as early as January. Schoenfield, who is now the CEO of MarketVector Indexes, expressed optimism about the Securities and Exchange Commission (SEC) granting approval due to its tendency to postpone decisions while seeking public input, rather than outright declining applications. He believes that all applications will be approved together within the next three to six months, resulting in a significant influx of funds into the industry. This influx could potentially double or even triple the current assets managed in Bitcoin investment products.
Former BlackRock managing director Steven Schoenfield gives the U.S. SEC “three to six months” before it approves a Bitcoin spot ETF and believes spot ETF approval may result in a “$150 to $200 billion inflow” into Bitcoin investment products over three years. Decrypt reported.…
— Wu Blockchain (@WuBlockchain) October 4, 2023
BlackRock Faces Tough Competition For Spot Bitcoin ETF Assets
With the expectation that the SEC will approve all applications simultaneously, Schoenfield anticipates a fierce battle for market share among firms involved in tradable digital assets. He suggests that BlackRock, his former employer, will face significant competition from other firms committed to this space. The SEC recently extended the deadline for approving or denying spot Bitcoin ETFs, including those proposed by BlackRock and other fund managers.
In the next 5 years, the capital in crypto funds may increase from $50 billion to $650 billion according to Bernstein analysts.
Are you bullish yet?
— Whale (@WhaleChart) September 26, 2023
The pressure on the SEC to approve spot Bitcoin ETFs has intensified following a court victory by Grayscale Investments against the SEC. A judge criticized the regulator’s decision to approve Bitcoin Futures ETFs while excluding spot Bitcoin ETFs as “arbitrary and capricious.” Additionally, four members of the House Financial Services Committee have urged the agency to immediately approve spot Bitcoin ETF listings. Research firm Bernstein predicts that approval of spot crypto ETFs will lead to a surge in crypto assets under management, potentially increasing thirteen-fold to $650 billion within the next five years.
Hot Take: SEC Delays Approval of Spot Bitcoin ETFs Despite Growing Pressure
The Securities and Exchange Commission (SEC) continues to delay its decision on approving spot Bitcoin ETFs, despite mounting pressure from lawmakers and industry participants. The recent court victory of Grayscale Investments over the SEC highlights the inconsistency in approving different types of Bitcoin ETFs. While some experts, like Steven Schoenfield, remain optimistic about an early approval within the next few months, others are growing impatient with the regulatory process. The potential approval of spot Bitcoin ETFs could bring significant inflows of funds into the industry, potentially transforming it from a “cottage industry” to a sector with $50 billion in revenues over the next five years.
- SEC Delays Approval of Spot Bitcoin ETFs Even As Lawmakers Pile On Pressure for Green Light “Immediately”
- Spot Bitcoin ETF Approval To Trigger ‘Enormous Inflows,’ Reckless Not To ‘Aggressively Accumulate BTC,’ Report Says
- Valkyrie Wins Approval To Add Ethereum Futures To Bitcoin Strategy ETF
By
By
By
By
By