Bitcoin ETFs are getting really popular as more and more companies file for them under the SEC. But unlike Canada and many other places, the US SEC hasn’t approved any of them. At present, 19 Bitcoin ETFs are waiting for the approval of the authorities. It is sad to see that the SEC isn’t working proactively to make this investment vehicle available for the masses. Even they know that once they approve a BTC ETF, there is no coming back, and the adoption will get even more serious.
Bitcoin ETFs
The SEC hasn’t taken any solid step to make sure that the companies comply with the requirements and submit an application that can be approved. They haven’t even rejected any applications that can help companies learn. The SEC’s job is not to evaluate an ETF based on the underlying investment but to see if it’s legit. It should rather look at the company and the terms and conditions rather than slowing down things because it’s crypto. Other countries are proactively working on this. In fact, Canada just approved a Bitcoin, and Ethereum combined ETF recently.
The approval of a Bitcoin ETF could be similar to the first Gold ETF approved around 2004, which sparked a bull run that took Gold to new price levels. Bitcoin could also see such a rally and we might cross $100k by the end of 2021 or mid-2022 if the US approves the ETFs. The benefit of ETFs is that they are easy to manage, and since they are approved by the authorities, there is no legal problem. The tax system also works a lot better with them. A lot of people are going to invest in crypto when they see that the government has approved a BTC ETF. It also saves them the hassle of going on an exchange to actually buy and hold the coins.
SEC commissioner on the pending ETFs
Even the SEC commissioner said that the approach of the commission is “outdated”. She thinks that the need for having a Bitcoin ETF is high as people are looking for ways to get into crypto without buying and dealing with exchanges and coins. Therefore, we can expect that a rising demand could force the SEC to actually go forward and approve some Bitcoin ETFs by the end of 2021.
What are your thoughts on the 19 pending Bitcoin ETFs? And do you think at least one will be approved by the end of 2021? Let us know in the comments below. Also, if you found our content informative do like and share it with your friends.
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