The SEC has received a filing for a covered call ETF from Grayscale, which will have no direct exposure to crypto.
However, Robinhood CEO emphasized that even though the value of cryptocurrencies like Bitcoin is rising, they are still complicated and risky
A dissenting SEC commissioner has expressed disapproval of the Bitcoin spot ETFs and highlighted the reasons for this.
The SEC faces deadlines ranging from May 23 to August 7 to make decisions on Ethereum ETF applications.
Operating within tightly regulated stock exchanges, ETFs ensure accessibility through existing retail investors’ brokerage accounts, subject to stringent supervision.
Gradual adoption of spot Bitcoin ETFs is expected to happen through proper education to wealth managers as trading is scheduled to begin today.
The approved ETFs are expected to attract significant inflows. Estimates suggest that Valkyrie could see $200-400 million, with the overall market experiencing $4-5 billion in inflows within the first few weeks.
Coinbase could win big if the SEC approves spot Bitcoin ETF as the exchange is responsible for custody on most of the pending proposals.
In response to the breach, SEC Chair Gary Gensler swiftly clarified that the commission had not approved the listing and trading of spot Bitcoin ETFs.
According to the Valkyrie exec, the possibility of an ETH or XRP spot ETF is much higher especially since spot Bitcoin ETFs are likely to be approved.
The rise of ProShares Bitcoin Strategy ETF in the past year despite lacking direct exposure to Bitcoin indicates a huge demand for spot BTC ETF.
Spot Bitcoin ETF applicants have set low fees to attract fund advisors with experts highlighting that custodians will be forced to lower fees to remain competitive in the near future.
The applicants have quickly responded to the SEC’s comments on their S-1 forms, to ready themselves for possible spot Bitcoin ETF approval.
Observers disagree on whether or not the SEC adding comments on S-1 forms is a delay tactic, as spot Bitcoin ETF approval deadline approaches.
There has been speculation that BlackRock is looking to launch an Ether ETF after the Bitcoin one is approved and this could bring even more benefits to the industry.