Hopes are rising as the U.S. Securities and Exchange Commission (SEC) nears crucial decisions regarding approval for applications to launch spot bitcoin Exchange Traded Funds (ETF).
Analysts at Cantor Fitzgerald express increasing optimism in approving a spot Bitcoin exchange-traded fund (ETF) by the SEC. Their confidence stems from the robust market surveillance procedures proposed by asset managers.
Unlike previous instances, the SEC shows receptiveness, primarily due to enhanced measures to prevent market manipulation on off-shore spot platforms.
According to Bloomberg’s recent article, analysts are feeling more positive that this regulator will give the green light on applications to launch ETFs after rejecting multiple proposals from different entities due to concerns about the lack of oversight on bitcoin trading platforms.
But now, the regulator is more open to the recent applications that have implemented extra protections and close monitoring from regulated cryptocurrency trading platforms.
Recently, SEC chairman Gary Gensler revealed that the SEC is currently reviewing eight to ten applications for spot bitcoin exchange-traded funds (ETFs).
Analysts posit that the introduction of comprehensive surveillance measures would likely meet the regulator’s requirements.
Notably, BlackRock, the largest crypto asset manager, submitted its proposal back in June and has established a partnership with a U.S.-based exchange for market monitoring.
With these protective measures in place, analysts suggest that regulatory approval may be just weeks away.
This milestone is being viewed as a significant catalyst for the broader adoption of Bitcoin within mainstream finance.
If approved, it would facilitate easier access to Bitcoin for both large and small investors through traditional investment accounts.
Bitcoin prices have already gone up in response to the growing optimism, rising toward $35,000 recently. Analysts say the regulator’s approval would likely spark a significant price surge, cementing Bitcoin’s status as a legitimate asset class.
Also Read: VanEck Amends Spot Bitcoin ETF Application Amid Market Uptrend
