In a stark analysis, BitMex founder Arthur Hayes unveils the seismic impact of the imminent approval of a Bitcoin Exchange Traded Fund (ETF). Tracing the roots of Bitcoin’s emergence as a financial lifeline outside traditional systems, Hayes navigates through the financial crises of the past, highlighting Bitcoin’s resilience in the face of adversity.
The Shark Tank star and chairman of O’Shares ETFs explained his reasons for avoiding the newly approved spot Bitcoin ETFs, which invest directly in the cryptocurrency. He said he prefers to own Bitcoin directly and avoid paying extra fees to the fund managers. He also predicted that Fidelity and BlackRock, two of the largest asset managers in the world, will dominate the Bitcoin ETF market because of their established distribution channels and trust among investors.
BlackRock re-filed its S-1 registration statement for a spot bitcoin ETF on Friday, after receiving last-minute comments from the SEC. The quick turnaround time suggests that the asset manager and the regulator are eager to launch the product soon.
Bloomberg Intelligence analysts have increased their odds of a U.S. spot Bitcoin ETF approval from 65% to 75%, citing recent developments that favor the crypto industry. They believe the SEC will have a hard time denying the applications, especially after losing a court case against Grayscale. A spot Bitcoin ETF would allow investors to directly access the underlying asset without intermediaries.
BlackRock and Bitwise Asset Management have filed amended applications for spot Bitcoin exchange-traded funds (ETFs) with the U.S. Securities and Exchange Commission (SEC), signaling their confidence and readiness for launching the products.