2024 will be the year of institutional adoption of cryptocurrencies, led by an exchange-traded fund (ETF) based on the spot price of Bitcoin, followed by Ethereum. About it stated Galaxy Digital CEO Mike Novogratz.
During a conversation with investors following the results of the third quarter, the businessman expressed confidence that the approval of several ETFs is already a matter of time. In his opinion, the tool will provide not only a degree of institutional trust, but also a significant amount of investment in the cryptocurrency industry.
At the same time, Novogratz admitted that difficulties may arise with the approval of Ethereum-ETF due to the staking model.
In August, Novogratz said the first spot Bitcoin ETF could receive approval in the US before around February 2024. A few months later, he changed his forecast for the end of this year.
According to QCP Capital analysts, the decision to launch the tool will be postponed until January 2024.
Galaxy Digital filed a joint application with Invesco to launch an exchange-traded fund based on digital gold back in July. In October, the companies also sought approval for a spot Ethereum ETF.
Earlier, ARK Invest and 21Shares submitted applications for a Bitcoin ETF, and later BlackRock joined the race. Subsequently, the US Securities and Exchange Commission (SEC) received similar documents from asset manager WisdomTree, as well as Valkyrie Investments and Fidelity Investments.
So far, the SEC has not given any permission to launch spot Bitcoin ETFs. The Commission made an exception for similar products based on futures for the first cryptocurrency from ProShares and Valkyrie Investments.
On October 16, Cointelegraph published fake news that the SEC allegedly approved a tool from BlackRock. Against this background, the price of the first cryptocurrency exceeded $30,000, but then the quotes returned to the level of $28,000.
On November 9, the second largest cryptocurrency by capitalization broke through the $2,000 level as an application for registration of a spot Ethereum-ETF from BlackRock appeared online. The next day, Nasdaq confirmed the proposal to register the iShares Ethereum Trust.
Source: Cryptocurrency
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