The US Securities and Exchange Commission (SEC) has given the green light to 11 spot bitcoin exchange-traded funds (ETFs), marking a significant milestone for the market. This landmark approval includes ETFs from major Wall Street asset management firms, as well as several better-known companies in the cryptocurrency world. The decision is expected to pave the way to attract major investment flows into digital currencies.
This move is perceived as a turning point that could lead to greater acceptance and integration of bitcoin into traditional financial markets. The approved ETFs are also expected to make bitcoin a possible staple in retirement accounts and pension plans, granting it widespread acceptance in the largest financial market in the world.
The approved ETFs are expected to provide investors with a more regulated and accessible way to gain exposure to bitcoin, which could lead to increased adoption and greater stability in the cryptocurrency market.
An ETF, or exchange-traded fund, is a type of publicly traded investment that represents ownership of a collection of assets, allowing investors to buy and sell these holdings on the secondary market. This provides an efficient and diversified way to invest in various assets without owning them directly.
This decision has been met with great anticipation and excitement within the industry, as there have been more than a dozen companies filing to issue these investment products. The approval of spot bitcoin ETFs is a significant development that could have a lasting impact on the market.
“The reason why everyone is focused [on spot bitcoin ETFs] is its characteristic: there have been ETFs for bitcoin futures, ether and other cryptocurrencies for years, but still (until today) not for bitcoin in spot or cash,” said Hernán González, press officer of the NGO Bitcoin Argentina.
The approval of these ETFs is a step forward in the mainstream adoption of cryptocurrencies and could lead to greater stability and investment in the digital asset market. These approved ETFs are set to begin trading on Thursday, marking a before and after for the cryptocurrency market.