Regulators ‘Make Progress’ on Bitcoin ETFs

ProShares Bitcoin ETF Weekly Flow Hits Record In 2023
ProShares Bitcoin ETF Weekly Flow Hits Record In 2023

Circle co-founder and CEO Jeremy Allaire predicted that the recent spate of bitcoin ETF filings will eventually lead to regulatory approval.

“I think progress is coming from more mature market structures that will support something like this. We have developed spot markets, well-regulated storage infrastructure and market oversight,” Allair said.

In June, management companies Valkyrie, BlackRock, WisdomTree and Invesco filed applications to launch spot bitcoin-ETH.

According to the head of Circle, “many of the past concerns are being addressed,” so exchange-traded crypto funds are “more likely” to be approved for ordinary investors.

Analysts at CoinShares recorded a weekly inflow of $199 million into digital asset investment products in June, the highest since the summer of 2022.

Weekly inflow of funds to crypto funds. Data: CoinShares.

Allaire added that “digital store of value like bitcoin remains a hedge in the context of continued sustained inflation and weakening currencies.”

To date, the US Securities and Exchange Commission (SEC) has rejected almost all applications for ETFs: the exception was made for ProShares and Valkyrie Investments, which are based on Chicago Mercantile Exchange bitcoin futures. Grayscale sued the regulator after a negative response.

Recall that the Wall Street Journal editors accused the head of the SEC, Gary Gensler, of a “confusing” approach regarding the adoption of a spot ETF based on the first cryptocurrency.

ARK Invest analyst Yassin Elmanjra said that BlackRock’s bid for a bitcoin exchange-traded fund could be “a significant turning point in digital gold’s journey to institutional acceptance.”

Found a mistake in the text? Select it and press CTRL+ENTER

ForkLog Newsletters: Keep your finger on the pulse of the bitcoin industry!


Leave a Reply