While there is not yet an approved Spot Bitcoin ETF in the United States, this does not mean that it will never happen. There are pending applications with approaching final decision dates. The SEC’s increased communication with potential issuers, in contrast to previous processes, is exciting.
Mass approvals of Spot Bitcoin ETFs are expected. This will lead to intense competition among different issuers. Giants like BlackRock and Fidelity will compete to capture the largest share of this market.
The competition will trigger a major race, especially in the fields of advertising and marketing. Bitwise, one of the potential ETF issuers, has already indirectly started advertising for a Bitcoin ETF.
Bloomberg ETF expert Eric Balchunas and another ETF expert, James, note that the Bitcoin ETF marketing wars have already heated up and the competition has begun even before the approvals are granted.
According to Bloomberg experts, mass approvals for Spot Bitcoin ETFs are expected by January 10th. However, since these dates are deadlines, it is thought that decisions could even be announced by the end of December. Experts assess the likelihood of approvals coming in early January at 90%.
The approval of a Spot Bitcoin ETF will demonstrate the US regulator’s acceptance of Bitcoin’s legitimacy. Companies will be able to hold BTC on their balance sheets as spot ETFs, and retirement funds will be able to easily launch BTC-indexed products. Experts believe that billions of dollars will flow into Bitcoin in the first few months with institutional demand. Since a Spot BTC ETF requires physical BTC to be held in reserves, it will cause a tightening of supply and could trigger larger price movements on exchanges.