Grayscale says it will do everything in its power to ensure it gets approval for a new bitcoin-based exchange-traded fund (ETF).
Grayscale Wants the SEC to Approve All ETFs
Also, the crypto company has asked that all the current bitcoin ETF applications the SEC is looking at be approved simultaneously. The bitcoin ETF train began in recent weeks through BlackRock, which is slated to be the big gamechanger in the world of crypto-centered ETFs.
As a standard financial entity, the company is large and regulated enough to be considered fairly by the SEC. The firm also has a very sold track record thus far with the agency, having garnered greenlights on more than 500 separate applications.
Once this application was submitted, six others followed suit, and now, the SEC is analyzing all of them to see if they are ready for approval or need changes to be reconsidered. Grayscale wants all of them approved at the same time so the crypto space can unleash its full legitimacy, which up to this point, has largely been withheld.
Craig Salm – chief legal officer at Grayscale – said in an interview:
We believe that for the benefit of bitcoin, the market, and investors, all spot bitcoin ETF applications should be approved simultaneously. Grayscale continues to support any effort that enables investors to access the crypto ecosystem, and we applaud all progress that brings more oversight to centralized crypto markets. We will also take any action necessary to convert GBTC to an ETF.
There have been many years in which companies have tried with all their might to get BTC-based ETFs approved by the Securities and Exchange Commission (SEC). However, none of them have ever gotten a “yes.” In addition, Grayscale has been trying for some time to get its application appropriate attention from the agency. It was quickly rejected like so many others, and the company engaged in a lawsuit against the SEC not long after.
Fundstrat is quite confident that a huge flood of crypto ETFs all at once could ultimately ensure that bitcoin and its altcoin cousins experience price surges like never before. In a note to clients, the financial research institution wrote:
[A bitcoin ETF launch] would bring daily demand to $125 million, while daily supply is only $25 million. The implied equilibrium price would need to rise so daily supply matches daily demand.
How the Halving Could Help
It also said that the halving – which is slated to take place in mid-2024 (next year) – will enable bitcoin to potentially reach a price of nearly $200,000, though it’s hard to take a number this large seriously given we only have about seven months to reach it. The company said:
Equilibrium analysis suggests that a clearing price is $140,000 to $180,000 before the April 2024 halving.
