Former BlackRock Manager Says Prepare For $17.7 Trillion…


Bitcoin could see an influx of up to $17.7 trillion from institutional investors as a former BlackRock manager predicts the imminent approval of spot Bitcoin ETFs in the US.

While some market players have dashed the hopes of the SEC approving a spot bitcoin ETF, others have been optimistic. According to former BlackRock managing director Steven Schoenfield, spot bitcoin ETFs are on their way into financial institutions withing a timeline of the next three to six months.

Approval Of Spot Bitcoin ETFs Is Very Close

The SEC has been under intense pressure to approve the various applications of spot bitcoin ETFs it has received in the past few months. Recently, a few US senators voiced their opinions on the subject, pleading with the SEC to approve the applications as soon as possible.

Many analysts have spoken about a predicted an early 2024 timeline for the SEC’s approval of the ETFs. Bloomberg analysts estimate that the likelihood of approval has now increased to 75%. 

Steven Schoenfield, now the CEO of MarketVector Indexes, had initially given a timeline of “nine to twelve months” for SEC approval. However, the executive has brought out this timeline, considering recent updates.

While speaking at a panel discussion on ETFs at CCData’s Digital Asset Summit in London, Schoenfield said a spot BTC will most likely hit the market in the next “three to six months.”

“The SEC will probably approve all spot bitcoin ETF applications at the same time. Don’t think they want to give anybody first mover advantage. Instead of completely rejecting the whole list, they’ve asked for comments, which is a marginal but significant improvement in the dialogue,” Schoenfield said.

BTCUSD is currently trading at $27.830. Chart:

Potential Market Game Changer

The top crypto has witnessed a notable spike from applications of spot Bitcoin ETFs, and an approval could reshape the digital asset market and propel BTC to new highs. North America, especially the United States, currently accounts for 98% of all crypto futures ETF trading volume. 

If approved, a spot Bitcoin ETF could unlock a massive inflow of capital from institutional investors, up to $17.7 trillion from financial institutions. According to Bloomberg senior ETF analyst Eric Balchunas, this would push North America’s stake to over 99.5%.

BlackRock alone, who is currently spearheading the spot Bitcoin ETF charge, has over 9.4 trillion in assets under management (AUM). Other Wall Street giants like WisdomTree, Invesco Galaxy, Valkyrie, VanEck, are also waiting for approval.

Featured image from WSJ

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