What are the odds that the Securities and Exchange Commission (SEC) approves a Bitcoin ETF this year? ETF Trends CEO Tom Lyndon is tackling the question.
On a new episode of CNBC’s ETF Edge, the analyst outlines three key developments that he says could lead to a Bitcoin ETF this year. First up – the fact that the SEC recently green-lighted the NYDIG Bitcoin Strategy Fund which invests in Bitcoin futures contracts.
Says Lyndon,
“What it [does] is basically approve that it’s filed as publicly traded, so you can, like a regular mutual fund, like the Magellan Fund, there’s a sister mutual fund out there where you can invest in Bitcoin.”
Lyndon says CME’s newly launched Bitcoin options represent another big step forward in the institutionalization of BTC. He believes the move the regulatory approval goes a long way toward addressing the SEC’s concern about the security of and liquidity around Bitcoin. According to Lyndon, the use of options and futures could bypass these issues altogether.
Lastly, he mentions the investment integration of Bitcoin on traditional asset platforms such as Fidelity.
He adds,
“The more we can get on account statements like your Schwab account, like your TD [Ameritrade] account — that’s going to help things out.”
When asked about the chances of a Bitcoin ETF this year, Lyndon pegs the odds at 60%.
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Jer123
