Bitcoin Spot ETFs May Get Green Light From SEC Tomorrow, TechCrunch Reporter Says

Techcrunch reporter and Bitcoin logo

The U.S. Securities and Exchange Commission (SEC) may approve multiple applications for spot Bitcoin exchange-traded funds (ETFs) as soon as today (Friday), according to a tweet by Jacquelyn Melinek, a senior reporter at TechCrunch, a traditional American technology media.

Melinek said she heard from sources “extremely close to the matter” that the SEC is ready to give the green light to several firms that have filed for spot Bitcoin ETFs, which would track the price of the underlying cryptocurrency rather than its futures contracts.

Bitcoin Futures Worth $2 Billion

The SEC has been reviewing more than 10 applications for spot Bitcoin ETFs from various companies, including BlackRock, Fidelity, Invesco, WisdomTree, and VanEck. The regulator has repeatedly delayed its decisions on these applications, citing concerns over market manipulation, investor protection, and custody issues. However, the SEC has approved four Bitcoin futures ETFs since October 2021, which have attracted more than $2 billion in assets under management.

A Boost for BTC Price

The approval of spot Bitcoin ETFs would be a major milestone for the crypto industry, as it would provide investors with a more direct and convenient way to gain exposure to the largest cryptocurrency by market capitalization. Spot Bitcoin ETFs would also potentially increase the demand and liquidity for Bitcoin, as well as reduce the premium or discount of the futures ETFs to the spot price.

The news of the possible SEC approval boosted the price of Bitcoin, which rose above $45,000 on Wednesday, up more than 5% in the past 24 hours. The crypto market is also anticipating the launch of the first Ethereum futures ETF in the U.S. by VanEck, which is scheduled to start trading on Thursday.

Author: Jinka

Jinka is a self-trained crypto journalist, passionate about happenings in the industry.