Spot Bitcoin exchange-traded funds (ETFs) have been approved in the United States. The picture depicts eleven such ETFs, eight of which are affiliated with Coinbase. This speaks volumes about the development of the cryptocurrency economy. Spot Bitcoin ETFs introduced by the leading asset managers will provide access to a wide range of new investors, thereby fostering innovation and future development.
The 11 spot Bitcoin ETF-based applications pertaining to traditional financial and crypto-focused financial providers have received approval from the SEC. The approval process for spot ether ETF applications may follow this.
The anticipation and acceptance of spot Bitcoin ETFs have grown among institutional and retail investors. Over 5% of the world’s population, or 425 million people, possess cryptocurrency. The approval is a step in the right direction for the world’s preference for digital assets.
More than $154 trillion in wealth is held by US households, with financial advisors, banks, and broker-dealers managing more than one-third, or around $58 trillion. According to DACFP, 50% of US financial advisors possess Bitcoin. However, due to the lack of ETF availability, just 12% of advisors promote this for their clientele.
Despite the fact that Bitcoin has been in existence for the past fifteen years, traditional financial institutions have embraced crypto-oriented innovations such as tokenization and blockchain technology. The preferred ETF for major asset managers is the Spot ETF.
Regarding the 11 firms that were granted authorization to offer spot Bitcoin ETFs, they currently hold assets exceeding $16 trillion. They consider a secure environment, portfolio diversification, and the ability to address fiscal and monetary policy to be among the benefits. By offering investors the opportunity to invest in spot cryptocurrencies, ETFs will transform cryptocurrency into a primary asset and make it accessible to investors.
Spot ETFs will be accountable for fostering innovation and bolstering the cryptocurrency industry. Spot Bitcoin ETFs will increase the velocity of Bitcoin trading and liquidity.
Coinbase advocates for a measured approach. They have earned the confidence of both traditional and cryptocurrency-focused organizations by supporting the expansion of their spot Bitcoin ETFs. They hold the proverb “slow and easy wins the race” in the highest regard.
Source: https://www.cryptonewsz.com/the-us-now-has-spot-bitcoin-etfs-affirming-the-future-of-money/