Cryptocurrency analyst Todd Rosenbluth believes that a Bitcoin ETF (exchange-traded fund) could very well be approved by the SEC in 1-2 years. When asked about a specific timeframe, however, Todd admitted that he does not know exactly when this will take place but that it is nevertheless extremely likely.
‘We are more likely to witness ETFs be approved soon,’ says Rosenbluth
Todd is currently the head of Mutual Fund and ETF research at CFRA, and according to him, VanEck, Valkyrie Digital Assets, and Fidelity Investments might not have their Bitcoin ETFs be approved by the appropriate regulators in the United States for a period of up to two years.
He went on to elaborate that the United States Securities and Exchange Commission will be considering a decision regarding the aforementioned Bitcoin exchange-traded fund that had been initially pitched by VanEck, which is an investment management firm, in January. The SEC took a couple of months to officially acknowledge the receipt of this application, as this acknowledgment had only occurred less than a month ago, on March 15th. The regulatory body now has till the 29th of April to either extend the deadline or reach a decision.
Rosenbluth also added that various firms have either went through the abovementioned filing process already or have filed previously and are currently awaiting a reply for further clarification. Todd did say that the SEC is unlikely to show favoritism and pick a winner with regards to which firm may be prioritized, but assuming that an ETF is approved, then multiple ETFs related to Bitcoin might also be approved from there on in.
Canadian firms lead the charge as the U.S remains hesitant
Although the United States may remain hesitant towards approving a crypto ETF, Canadian firms, on the other hand, have been paving the way in the region of North America.
Purpose Investments, which is based in Toronto, Canada, had successfully launched a Bitcoin exchange-traded fund a couple of months ago in February. Moreover, Ninepoint Partners also has plans of converting its Bitcoin trust offering into an ETF in the future as well. Additionally, both Evolve Funds Group and 3iQ had made it known that a prospectus with the relevant Canadian regulators had been filed for approval in order to start trading crypto exchange-traded funds.
Perhaps this attitude will encourage Canada’s neighbor to do the same in the future, but only time will tell if this is to be the case or not as the SEC remains hesitant to provide full support to the cryptocurrency community in the United States.