According to Nikolaos Panagirtzoglou, the regulator had no other choice after the US court declared illegal the SEC’s refusal to launch Grayscale’s bitcoin ETF. Now the SEC will simply be “forced” to approve such investment products.
Recently, the regulator postponed the decision on all applications for the launch of bitcoin ETFs. Panigirtzoglu expects the SEC to approve several applications at once, and for this the regulator needs time to prepare.
“The delay likely indicates the approval of multiple bitcoin spot ETF applications at the same time, rather than giving a head start to any individual applicant,” the analyst said.
Panigirtzoglu noted that the emergence of several spot cryptocurrency ETFs at once will create competition – companies will reduce commissions in order to attract investors. It would also put pressure on Grayscale if it was allowed to convert its GBTC trust into a Bitcoin ETF.
Bitcoin spot ETFs have already launched in Canada and Europe. However, investors in these countries were not too interested in these products. In addition, the outflow of funds from ETFs to gold does not lead to an increase in the capitalization of cryptocurrency funds. Panigirtzonglu expects that Bitcoin spot ETFs are unlikely to create a stir among investors in the US.
Earlier, former head of the SEC Jay Clayton spoke about the inevitability of the approval of spot ETFs for bitcoin.
Source: Bits
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