Bitcoin-based exchange-traded funds are closer than ever to becoming a reality, but approval is still a long way off, according to a market analyst.
The Securities and Exchange Commission is currently reviewing VanEck’s second proposal for a bitcoin ETF. Officials now have about two weeks to decide whether to approve, reject or extend their review window.
Even with Coinbase’s direct listing re-energizing interest in the cryptocurrency market, potential bitcoin ETF issuers will still face hurdles, Bitwise Asset Management chief investment officer Matt Hougan said.
“The crypto industry … has gone through this massive institutional maturation. Every aspect of it has improved dramatically over the past five years, over the past three years, and over the past year. Coinbase going public is just another part of that narrative, ”he told CNBC’s“ ETF Edge ”this week.
“So absolutely we’re getting closer to a bitcoin ETF. I still think it’s a matter of when and not if, but we’re not quite there yet,” he said. . “The SEC has asked good questions and companies like Bitwise and others have worked to address them. But I think we’re getting closer.”
The appointment of Gary Gensler, a former Goldman Sachs executive who taught a cryptocurrency and blockchain course at MIT, to lead the SEC could get things done, Hougan said.
“I think it helps in that it’s a new administration, a new set of fresh priorities and he’s an expert in this area, but I don’t think there is any magic sauce,” he said. declared the IOC.
“The market has to be good enough, has to be institutional enough, has to be mature enough to support an ETF before the SEC gives the green light to it. But the good news is that I think we’re closer to that. not today than we were… the past, and I really think we’re getting there. “