The Securities Exchange Commission (SEC) has let slip some big news on Bitcoin (BTC) ETF’s. These are the fabled pot of gold at the end of the rainbow for cryptocurrency enthusiasts. They signify huge adoption of digital assets when the first one becomes approved. It will allow mainstream, retail, and even institutional investors to find the courage to invest in Bitcoin.
Now, the SEC states that it will fully analyze nine different BTC ETF applications in only the next two months. These include VanEck, ProShares, SolidX, and more. Assuming even one of them gets approved, it would be the boost that the digital asset universe has sought for the last decade.
While many cryptocurrency followers fear that the elusive Bitcoin ETF will not happen soon, the SEC hints otherwise. They have pledged to make the ultimate decision on the nine proposed BTC ETFs in 60 days. The only so-called physical ETF of the offerings is the VanEck Bitcoin Trust ETF proposed back in June. The SEC seems to prefer an ETF that would be more transparent and less like a Ponzi scheme.
The Other BTC ETFs Are Also Contenders for the Prize of First Cryptocurrency ETF
There are a variety of other contenders besides VanEck though. ProShares, GraniteShares, and Direxion are also substantial contenders. The SEC must rule within 45 days of their proposals being published within the American Federal Register. The rules state that an initial decision must be delivered 45 days after that point. The ProShares’ two funds have an SEC deadline set for August 23rd.
Meanwhile, GraniteShares will reach its two proposed ETF rulings in September. These are set for September 15th . Direxion’s four fund proposals must be ruled on by September 21st.
Why Is It Such A Big Deal to Have a BTC ETF on the Equities Exchanges?
SEC approval means a new day will dawn for Bitcoin and the entire cryptocurrency space. Institutional investors would finally have a stable mechanism to pile into the market. This would massively encourage adoption and also propel prices of BTC and various altcoin tokens. They could potentially reach old stratospheric prices of last year. The markets reacted very badly when the SEC delayed its proposed rulings earlier this month. Some of the altcoins took a beating of over 13% in a matter of hours.