US Financial Advisors Show Uncertainty on Spot Bitcoin ETF Approval in 2024: Bitwise Survey
Summary:
A survey by ETF provider Bitwise reveals that only 39% of US financial advisors predict the approval of a Bitcoin ETF in 2024, despite much anticipation from crypto enthusiasts. The survey included 437 advisors of varying roles, with 87% believing the ETF will eventually be approved. Meanwhile, 12% expressed no hope for approval. Furthermore, the majority of advisors would prefer to invest in Bitcoin after the ETF approval.
Within the United States, numerous cryptocurrency enthusiasts are patiently awaiting for the acceptance of a spot Bitcoin (BTC) exchange-traded fund (ETF), however, not all financial insiders are hopeful about this development. In a study released on January 4 by ETF provider Bitwise, it was revealed that mere 39% of American financial advisors anticipate the approval of a Bitcoin ETF within this year.
The study, which encompassed 437 financial advisors across the country, was inclusive of viewpoints from registered investment advisors (RIAs), finance plan developers, institutional investors, and wirehouse representatives. When asked to predict when a Bitcoin ETF could receive approval notice, only 39% foresees this happening in 2024, which is contradictory to many experts predicting a January 10 approval deadline.
Despite this rather grim outlook, most advisors anticipate the approval of a Bitcoin ETF in due course. The study revealed that 22% are predicting a 2025 approval and 24% feel it will happen post 2025, while 2% who backed a 2023 approval have seen their projections go unrealized. Cumulatively, a hefty 87% believe that an ETF is bound to be approved. Nonetheless, 12% of those surveyed denies any chances of approval.
Moreover, the survey indicated that a sizable portion of advisors are eagerly anticipating an ETF green signal, irrespective of the timeline. A number of participants even expressed their intention to invest in Bitcoin themselves or for their clients once an ETF approval comes through. And interestingly, a substantial 88% prefers to buy bitcoins post ETF approval.
The journey to achieve approval for Bitcoin spot ETF from the United States Securities and Exchange Commission (SEC) has been a challenging process for ETF issuers. This challenge was exemplified in June 2023, when Grayscale's appeal against the SEC's denial of their BTC spot ETF proposal ended with Grayscale emerging victorious. This required SEC to reassess the application. This incident triggered a wave of optimism among experts, asserting that an ETF is expected to get approved soon. The SEC is due to make decisions on ARK 21 Shares spot Bitcoin ETF's future by January 10 while there are other funds that have deadlines for March.
Published At
1/5/2024 12:45:23 AM
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