Bitcoin etf has been the talk of the town for the last few months and the US exchanges are excited about it. Many asset management companies have applied for the Bitcoin ETF and Blackrock is the biggest one, one of the world's leading asset management companies. Although this is not the only company that has filed for the Bitcoin ETF, there are a few more in the queue and they are also waiting for approval from the SEC. The spot ETF for Bitcoin is certainly going to be a big thing because it will bring more investors in the crypto segment and institutional money will also flow in.
More people are buying Bitcoin and it is the truth but bigger investors are not the ones who will be buying it from the exchanges and this is why they need some legal option through which they can be part of the Bitcoin. An exchange credit fund which is known as ETF is a way that will enable this option where people will be able to buy Bitcoin through the fund and it is the legal way to invest in Bitcoin and Crypto. The filing has already been done by the different companies and now it is time that they are expecting some approval action from the Security and Exchange Commission. This is the organisation that will approve this request if they are fine with it and looking at the current situation it looks like the SEC is in favour of the Bitcoin spot ETF. Although there is no guarantee that this is going to happen shortly however they have not rejected anything which means it is a possibility because discussions are happening with SEC and different companies.
Some companies like BlackRock, Grayscale, and Fidelity are the biggest players in the assets management world and they have applied for this. It is obvious that these companies see this as an opportunity where they can make good money in the crypto world and Bitcoin is now 15 years old hence it is a proven a set in the market by now. There have been multiple ups and downs in the Bitcoin price but still, it survived for 15 years which itself is a big achievement and proves that it is a reliable digital asset. Now the adoption is growing for Bitcoin and this is why more people are trying to hold Bitcoin instead of selling it also the number of Bitcoin holding wallets is growing.
With the approval of Bitcoin spot ETF, the window for institutional investors will open as they will be able to buy it through the proper channel instead of buying it from the exchange. Exchange is good for the retail investors and also these exchanges offer the OTC buying option but I don't think these institutional investors are in favour of that and this is why the ETF is going to help them. Even if the OTC option is availed by the institutional investors then these asset management companies will not have any involvement but with spot ETF they will be involved and they will be managing the funds coming through this etf.
The amended 19b-4 filings, filed on behalf of BlackRock, Grayscale, Fidelity and other issuers, join last month's amended S-1 filings, addressing feedback from the U.S. Securities and Exchange Commission (SEC). More than a dozen applicants hope to launch the first spot bitcoin ETFs in the U.S.; it's likely multiple issuers will be approved simultaneously.
Once again this process does not guarantee approval and anything can happen as an outcome but still, the current situation indicates that there is a higher probability for approval. SEC could have rejected these applications in the first place if they were not interested and if they didn't find it worthy but now since this has not been done hence it opens the door of possibility where we could see it getting approved in the form of Bitcoin etf.
Most likely the outcome is expected to come in this quarter hence this is an exciting time for Bitcoin because we are also heading towards the Bitcoin halving which is scheduled to happen in April month.
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