Institutional Giants Prepare for Bitcoin ETF Battle After Regulatory Nod

Published 09/08/2023, 22:29
Updated 09/08/2023, 22:45
© Reuters Institutional Giants Prepare for Bitcoin ETF Battle After Regulatory Nod

  • Insiders from BlackRock and Invesco suggest ETF approval will be in six months.
  • Galaxy CEO Novogratz predicts fierce competition among industry players post-approval.
  • Institutional shift observed as SEC’s green light would streamline substantial allocations.

Eric Balchunas, a Senior ETF Analyst at Bloomberg, recently took to Twitter to share promising indications about the future approval of a Bitcoin exchange-traded fund (ETF). According to Balchunas, insights from BlackRock and Invesco suggest that a Bitcoin ETF will be approved within four to six months.

The analyst noted that the timeframe estimation came from Mike Novogratz, the CEO of Galaxy, during a recent conference call.

According to a snippet of the call, Novogratz emphasized the significance of the ETF filing. He highlighted the potential for intense competition among industry players once the ETF is approved. Novogratz projected that BlackRock and Invesco, alongside Galaxy, are poised to compete fiercely to capture market share after the ETF’s green light. In his words

“The news of both BlackRock filing ETF and, quite frankly, Invesco plus Galaxy, we’re going to fight like cats and dogs to win market share there once it gets approved.”

Drawing from his network of contacts, Novogratz provided insights into the prevailing sentiment within the industry. He suggested that the consensus among these contacts leans heavily towards the belief that the SEC’s approval of a Bitcoin ETF is inevitable. The statement read:

Furthermore, Novogratz pointed out the evolving perspective of institutional giants, particularly BlackRock. He noted that the SEC’s eventual approval of a Bitcoin ETF carries significant weight and represents a shift in attitudes within the institutional investment landscape.

With the looming possibility of a Bitcoin ETF approval, Novogratz anticipates that this regulatory green light would pave the way for more streamlined and substantial allocations from institutional investors into the crypto realm. He believes introducing an ETF would provide a straightforward avenue for top investors to allocate significant capital into the crypto market.

The post Institutional Giants Prepare for Bitcoin ETF Battle After Regulatory Nod appeared first on Coin Edition.

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