The potential approval of BlackRock‘s Bitcoin ETF is a significant development that could fuel the ongoing Bitcoin bull run. Major industry figures, such as Michael Saylor, co-founder of the business intelligence company MicroStrategy, have expressed optimism about the future of Bitcoin and believe that the involvement of investment giants like BlackRock, Citadel, and Fidelity could drive the price of Bitcoin to reach an astonishing $1,000,000. Additionally, Saylor has emphasized that Bitcoin’s surge would have a global impact and potentially reshape economies worldwide.
A renowned investment management firm BlackRock has made a significant move in cryptocurrency by filing for a spot Bitcoin Exchange Traded Fund (ETF). This development has sparked optimism among experts, who believe the application would likely receive approval from the U.S. Securities and Exchange Commission (SEC). If successful, this could profoundly impact the crypto industry, potentially aiding its recovery from recent losses.
The SEC has historically been cautious about approving spot Bitcoin ETFs, citing market manipulation and fraud concerns. However, the commission has allowed ETFs based on Bitcoin futures contracts to operate. Nevertheless, there is growing consensus among market experts that BlackRock might secure approval this time, as the company has effectively addressed the SEC’s concerns.
Financial Times has reported that industry insiders, such as Dave Weisberger, the CEO of CoinRoutes, a crypto trading platform, are optimistic about the BlackRock ETF’s chances of approval. Meanwhile, Eric Balchunas, a senior ETF analyst at Bloomberg Intelligence, highlighted BlackRock’s impressive track record of having 575 filings approved by the SEC, with only one rejection. Balchunas believes there is a 50-50 chance of approval for the BlackRock BTC ETF.
Experts have identified notable differences in BlackRock’s application compared to previously rejected requests. One key distinction is that the iShares Bitcoin Trust, listed on the Nasdaq exchange, might enter into a surveillance-sharing agreement. This change in the process could contribute to the SEC’s willingness to approve.
