Hashdex Foresees First Spot Bitcoin ETF in U.S. by Q2 2024, Ether ETF to Follow
Summary:
Asset management firm Hashdex expects to see the first spot Bitcoin ETF in the US by Q2 of 2024, swiftly followed by an Ether ETF. The company, which is among the 13 asset management companies whose spot Bitcoin ETF applications are being reviewed by the SEC, has also proposed a hybrid Ether ETF to the regulator. Bloomberg ETF analysts, meanwhile, note a 90% probability of spot Bitcoin ETFs being approved before January 10, 2024, but further approvals are still necessary for their launch. The arrival of these ETFs is expected to unlock a $50 trillion market.
Asset management firm Hashdex predicts the debut of the first spot Bitcoin ETF in the US by the second quarter of 2024, soon to be followed by a similar Ether ETF. While there is no set date for the spot Bitcoin ETF's US debut, as of 2023, the conversation has shifted from ‘if’ it will happen to ‘when’ it will happen, according to the firm's head of product for Europe and the US, Dramane Meite, in a 2024 forecast report published on December 4. Hashdex is among 13 asset managers whose spot Bitcoin ETF applications are under review by the US SEC. Additionally, the company has floated to the regulator a dual Ether ETF grounded on futures and spot contracts.
Moving ahead, Bloomberg ETF analysts James Seyffart and Eric Balchunas have opined a 90% probability of spot Bitcoin ETFs approval in the period before January 10, 2024. However, Seyffart has cautioned that this applies only to the 19b-4 applications, adding that Form S-1's separate approval is mandatory for the ETF's commencement. As Seyffart noted in November, the launch could be delayed by weeks, or even months, post the approval.
Important for companies, Form S-1 is used to inform SEC about the proposed amendments in rules and needs endorsement from the agency's Division of Corporation Finance. Detailing the significance of spot Bitcoin and Ether ETFs in Hashdex’s report, Meite anticipated large-scale asset managers providing their customers with a crypto product for the very first time. He foresaw a $50 trillion market opening up due to this — a marketplace larger than Europe, Canada, and Brazil combined, the only global markets presently offering spot crypto exchange-traded products. Key attention among single-asset ETFs, as per Meite, will be on Bitcoin and Ether, thanks to their well-known names and negligible differences among competitors.
Published At
12/5/2023 8:52:51 AM
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