As preparations for spot Bitcoin Exchange Traded Funds (ETFs) continue, executives from across the crypto community share their views on how these new investment vehicles could affect the general markets. Expectations are high for the U.S. Securities and Exchange Commission (SEC) to give the first approval for ETF applications in January.
Grayscale CEO Michael Sonnenshein, in an interview, expressed optimism about the Bitcoin market, noting that many investors are adding Bitcoin to their portfolios. He also mentioned that a portion of the investment community eagerly awaits the launch of spot Bitcoin ETF products to include Bitcoin in their portfolios. Grayscale is among the leading companies awaiting approval for a spot Bitcoin ETF and has recently discussed the transformation of its flagship GBTC product into an ETF fund with the SEC.
Jan3 CEO Samson Mow predicts that ETF products could push Bitcoin prices to $1 million and believes that ETFs will aid in Bitcoin’s branding and marketing. He explained how the competition for assets under management (AUM) among asset managers could lead to an advertising war beneficial for Bitcoin.
MicroStrategy co-founder Michael Saylor claimed that Bitcoin ETF funds would be the most significant development on Wall Street in 30 years, potentially increasing demand for Bitcoin and opening doors for mainstream individual and institutional investors to invest in Bitcoin.
While some experts predict a rise in Bitcoin prices, others, like crypto investor Anthony Pompliano, are skeptical that ETF approvals will double the price overnight, noting that ETFs are bullish but unlikely to move a large market. Bitcoin investor Oliver Velez compared buying Bitcoin ETF products to purchasing spot Bitcoin with an annual fee, whereas buying actual Bitcoin incurs a one-time cost, suggesting that true Bitcoin investors will continue to trade with real Bitcoin, which has no custody costs.
