Bitcoin ETF Outlook: SEC Approval Incoming or Rejection by January 10?
In Brief
The US SEC may soon give green light to the first-ever “spot” Bitcoin ETF by January 10, 2024, and the market is buzzing in anticipation.
Big investment firms are feeling positive about the Securities and Exchange Commission (SEC) giving the green light to the first-ever “spot” Bitcoin exchange-traded fund (ETF) in early January.
Yesterday, a tweet gave strength to such hopes.
“The SEC is holding meetings today with the exchanges Nasdaq, Cboe, and NYSE to finalize comments on the 19b-4s submitted by the $BTC Spot ETF issuers,” shared Eleanor Terrett from Fox Business, an American media house.
Several media reports indicated that though the ultimate decision remains pending, there were speculations that the SEC might commence notifying issuers of approval as early as Friday, with potential trading starting from the next week.
But, stop cheering!
James Seyffart, an analyst covering ETFs at Bloomberg is not expecting approval this week. He tweeted, “My understanding here is that this is just a securities registration. In order to list the ETF still needs a 19b-4 approval and they need an effective/approved/completed S-1 document. No 19b-4 yet. And S-1 is still preliminary (seen below). I’m still looking towards next week.”
As Metaverse Post reported previously, recent guidance from the SEC suggests that there’s a strong chance they’ll approve it by January 10, 2024. This is the final deadline for the SEC to decide on the application from the first company seeking approval for a spot Bitcoin ETF, which happens to be Cathie Wood’s Ark Investment Management in collaboration with 21Shares.
Players Betting Big to Join Bitcoin ETF Approval Party
Goldman Sachs is reportedly in discussions to become an authorized participant for upcoming spot Bitcoin exchange-traded funds (ETFs) planned by BlackRock and Grayscale, according to several media reports.
Currently, 14 asset managers are seeking approval from the U.S. Securities and Exchange Commission (SEC) for spot Bitcoin ETFs. These ETFs would enable investors to gain exposure to the cryptocurrency’s market price without directly purchasing the digital currency.
Recently, software company MicroStrategy acquired Bitcoins valued at roughly $615.7 million in cash. As disclosed in regulatory filings, the acquisition involved the purchase of approximately 14,620 Bitcoins at an average cost of around $42,110, spanning the period from November 30 to December 26. MicroStrategy, including its subsidiaries, underscores the long-term nature of its Bitcoin investments.
The cryptocurrency market eagerly awaits the SEC’s decision on the first-ever “spot” Bitcoin exchange-traded fund (ETF) by January 10. Recent meetings and speculations suggest potential approval, but analysts urge caution.
Institutional players like Goldman Sachs are positioning themselves for involvement, reflecting growing confidence. The outcome will impact Bitcoin’s institutional adoption and market participation. Regardless of approval or rejection, this decision marks an important moment in cryptocurrency’s integration into traditional finance, shaping its future role in the global financial landscape.
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Kumar is an experienced Tech Journalist with a specialization in the dynamic intersections of AI/ML, marketing technology, and emerging fields such as crypto, blockchain, and NFTs. With over 3 years of experience in the industry, Kumar has established a proven track record in crafting compelling narratives, conducting insightful interviews, and delivering comprehensive insights. Kumar's expertise lies in producing high-impact content, including articles, reports, and research publications for prominent industry platforms. With a unique skill set that combines technical knowledge and storytelling, Kumar excels at communicating complex technological concepts to diverse audiences in a clear and engaging manner.
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Kumar is an experienced Tech Journalist with a specialization in the dynamic intersections of AI/ML, marketing technology, and emerging fields such as crypto, blockchain, and NFTs. With over 3 years of experience in the industry, Kumar has established a proven track record in crafting compelling narratives, conducting insightful interviews, and delivering comprehensive insights. Kumar's expertise lies in producing high-impact content, including articles, reports, and research publications for prominent industry platforms. With a unique skill set that combines technical knowledge and storytelling, Kumar excels at communicating complex technological concepts to diverse audiences in a clear and engaging manner.
