The world of crypto is keen on seeing the US SEC approve a spot Bitcoin ETF for the first time.
Galaxy Digital CEO Mike Novogratz has made a bold claim about BlackRock having its application for United States’ first spot Bitcoin (BTC) exchange-traded fund (ETF) approved. Citing insider sources from both Invesco and BlackRock, Novogratz says the approval may come sometime before next February.
Novogratz made the statement on Tuesday during the Q2 earnings call of Galaxy Digital. As culled from a SeekingAlpha transcript of the call, he suggested that insiders from both ends now believe that the approval is now a matter of when not if. He said:
“This is probably […] four to six months if you had to put a ‘pin the tail on the donkey’ on it, that the SEC is going to approve a Bitcoin ETF.”
Meanwhile, Novogratz’s Galaxy Digital is also in the race for a spot Bitcoin ETF. As Coinspeaker reported in June, Galaxy teamed up with Invesco to submit an upgraded application with the US Securities and Exchange Commission (SEC).
Though the SEC has yet to approve any spot Bitcoin ETFs at the moment, issuers might already be gearing up for a battle for the largest market share. Speaking to shareholders on Tuesday, Novogratz said:
“The news of both BlackRock filing ETF and quite frankly, Invesco Plus Galaxy, we’re going to fight like cats and dogs to win market share there once it gets approved.”
Spot Bitcoin ETF: What Are the Odds?
It is worth mentioning that the world of crypto is keen on seeing the SEC approve a spot Bitcoin ETF for the first time. And BlackRock’s application has revived hopes in this regard. But, having rejected several applications in the past, there is some fear that the SEC may still not yield.
Nonetheless, analysts believe that now is the time that the agency would love to prove a point that it is not anti-crypto. For instance, Galaxy Digital president Chris Ferraro believes that the SEC may approve a potential Bitcoin ETF for fear of being tagged an “obstructionist”.
“If the SEC loses its case against @Grayscale, as we expect, the path of least resistance would be a wave of simultaneous approvals for all spot #Bitcoin ETF applicants — including Grayscale and the other eight active filings.” @NYCStein in @Bloomberg today. Cc @EricBalchunas… pic.twitter.com/k72W6Ek7RK
— Craig Salm (@CraigSalm) August 2, 2023
Others also believe that the outcome of Grayscale’s ongoing lawsuit against the regulator will play a huge part. That is, a ruling in favor of Grayscale would mean that a wave of spot Bitcoin ETFs sweeps through.
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