The U.S. Securities and Exchange Commission is expected to approve multiple spot bitcoin exchange-traded funds (ETFs), potentially including Grayscale Bitcoin Trust (GBTC) with the first decision anticipated as soon as next week, according to a BTC News release.
"Market participants will spend a significant amount on marketing to attract retail and institutional capital," Markus Thielen, head of research at Matrixport, said to BTC News.
Analysts predict a favorable impact on the bitcoin exchange rate if these approvals are granted, and several companies, such as Ark Invest and 21Shares, have submitted applications for spot bitcoin ETFs, with a positive outlook for regulatory decisions by the end of the year, BTC News reported.
There are numerous spot bitcoin-ETFs the SEC is likely to approve. According to Coindesk, who cited a claim from Matrixport, this happened. The likelihood of many spot bitcoin-ETFs getting approved before the end of the year has been evaluated as "very high" by analysts, BTC News reported.
Such a choice might cause bitcoin to appreciate significantly. The business noted that, at its height, the flagship Grayscale Investment Bitcoin Trust controlled $43.5 billion worth of assets. It generated $870 billion in fees per year, according to BTC News.
The regulator is anticipated to decide on GBTC as soon as next week. A bitcoin-based spot exchange-traded fund was requested by investing firm Grayscale in late July, BTC News said. The SEC will likely react to seven additional submissions in early September, according to experts.
According to Eric Balchunas and James Seyfarth, of Bloomberg Intelligence, there is a 65% likelihood a spot bitcoin ETF would be approved. Kathy Wood, CEO of Ark Invest, shares this outlook, BTC News reported. In a previous statement, she claimed "the U.S. regulator is likely to take the path of least resistance."
A spot bitcoin ETF will be registered in April 2023 thanks to new documentation submitted by Ark Invest and 21Shares. The U.S. regulator formally began accepting applications for the first spot exchange-traded fund registrations in July, according to BTC News.
