U.S. regulators are more likely to approve the listing of an ethereum futures ETF before approving a bitcoin spot ETF, according to Bloomberg Intelligence.
Bloomberg Intelligence analyst James Seyffart wrote in a report, “Most market participants believe that a bitcoin spot ETF would be preferable to an existing futures ETF, but SEC approval of the former could be delayed until late 2022 or beyond. ” As for the ethereum futures ETF, he estimates approval is expected as early as the first quarter of next year.
Currently, two funds tracking bitcoin futures began trading in October. The first is the ProShares Bitcoin Strategy ETF, which has accumulated more than $1 billion in assets in just a few days; the second is the Valkyrie Bitcoin Strategy ETF, which is still very active, although the response to the ETF has been quieter compared to the former. The debut of the two funds has also made Wall Street much more receptive to cryptocurrencies and paved the way for further applications of such products.
In addition, SEC Chairman Gary Gensler has previously said that bitcoin futures ETFs actually provide “important investor protections. However, the agency is currently rejecting all applications to invest directly in bitcoin funds.
Seyffart said in response, “While a bitcoin spot ETF is likely to launch in 2022, SEC approval may take longer due to concerns about regulation of bitcoin-based markets.”
