According to Mike Novogratz, the establishment of a spot Bitcoin exchange-traded fund (ETF) would be comparable to a “seal of approval” for Bitcoin from the US government and its securities watchdog.
The founder of cryptocurrency investing business Galaxy Digital discussed the filings of many spot Bitcoin ETFs with the Securities and Exchange Commission (SEC) in an interview on July 12. This included one from the $10 trillion asset management BlackRock.
According to Novogratz, “BlackRock, Invesco and the group of ETF providers are clear evidence that adoption is on the way.”
According to him, most people are “nervous” about investing in cryptocurrencies, thus the approval of a spot Bitcoin ETF would be an “easy first step” for most of them to begin doing so.
Mike said, “I just believe if it occurs, it will be the SEC and US government’s seal of approval.”
According to Novogratz, the “giant infrastructure” for the ETFs is already in place. In addition to BlackRock, businesses including Fidelity, VanEck, WisdomTree, Invesco, Valkyrie and a joint fund from ARK Invest and 21Shares have submitted ETFs for approval. Novogratz predicts that many of these will most likely be accepted.
The SEC won’t authorize one, thus massive sales forces will be out there granting access to those who previously lacked it.
Gary Gensler, the chairman of the SEC, has previously asserted that “everything other than Bitcoin” is subject to his agency’s regulation and that other cryptocurrency projects “are securities” because they often have well-known creators and promise profits based on their hard work.
Novogratz was hesitant when questioned about whether Galaxy and Invesco’s spot Bitcoin ETF will be able to list before the end of the year.
He claimed that the SEC had been “really persistent and really tough on cryptocurrency.”
“No significant person has survived the listing procedure. We are going through that process, which has been a long and difficult one. I’ll end it there,” he continued.
To see genuine movement in crypto regulation here in the U.S., I believe we will likely need either a change of government or a change of heart at the SEC.
According to Novogratz, Bitcoin’s price will end the year at a high. “If you take out the top, we’ll have a nice leg up,” he remarked.
