SEC plans to notify asset managers early next week. They will know if their Bitcoin ETF application is approved or not. This announcement would come before the January 10 deadline set by the SEC. The imminent communication from the regulatory agency will remove some of the suspense over the future of spot Bitcoin ETFs.
Towards imminent notifications by the SEC…
According to an exclusive Reuters report, the SEC is expected to begin informing asset managers of the outcome of their case as early as next Tuesday or Wednesday.
Among the applicants for a coveted Grail are several heavyweights in American and global finance. Like Ark Investments, 21Shares, Valkyrie, Bitwise, WisdomTree, Franklin Templeton, BlackRock, VanEck or Invesco. Some have already submitted their technical documents to the SEC, detailing the fees and mechanisms of the ETFs considered.
If approved, these bitcoin ETFs could launch as soon as January 10, deadline set by the SEC. The next few days therefore promise to be decisive after months of waiting which seemed like an eternity for the industry.
The seismic impact on institutional adoption
If the SEC finally gives the green light to these spot bitcoin ETFs, it would be a resounding bolt from the blue in the crypto universe. By allowing US investors to purchase bitcoin through a familiar and secure vehicle, there would be no doubt about its mass adoption.
BTC would thus leave the gray zone of speculative assets and enter the big leagues, bringing liquidity and stability to crypto-assets. Institutional investors and fund managers would no longer have any reason to stay on the sidelines of this Eldorado.
The influx of capital could be in the hundreds of billions of dollars. The valuation of bitcoin would literally explode. Above all, the validation of the concept would open the door to ETFs on Ethereum, Web3, NFTs… thus revolutionizing the landscape.
The wait is coming to an end. Within a few days, the players concerned will be determined whether or not the SEC will approve their Bitcoin Spot ETF projects. The SEC’s impending communication will mark a decisive step for the institutional adoption of cryptoassets. Caution nevertheless remains necessary while awaiting its historic decision.
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