Bitcoin ETF Approval: SEC Signals Green Light by January 10, According to FOX.
...........................
#BAKE #BTC #sol #COQ #BinanceWish $BTC $ETH
In a recent development, insider sources linked to FOX Business suggest that the SEC is poised to greenlight the first spot Bitcoin exchange-traded fund (ETF) by Jan. 10, 2024. This potential decision looms as a transformative milestone for the widespread acceptance of cryptocurrency within the U.S.
Prominent financial institutions, including industry behemoths like BlackRock and Fidelity, have submitted roughly a dozen applications for spot Bitcoin ETFs, valuing the digital asset in real time.
Although the SEC has refrained from making an official statement, recent indications from regulatory authorities hint at a favorable outcome, possibly entailing the simultaneous approval of multiple applications.
If granted, this approval would afford retail investors an economical means to engage with the largest cryptocurrency globally. Significantly, it would empower investors to transact on regulated platforms such as the NYSE and Nasdaq, steering clear of unregulated exchanges.
Nuance
Nevertheless, a distinctive requirement from the SEC introduces a unique nuance to the approval process. The SEC is steadfast in its insistence that ETF applicants employ cash rather than Bitcoin to acquire shares, effectively eliminating the tax advantage associated with "in-kind" purchases.
#BitcoinETFs cash or in-kind creation what's important?
In-kind is simpler and cleaner for the fund, as the fund doesn't have to direct the trading of $BTC, but it means $BTC can be sourced from anywhere.
Cash is more complicated but it hands big power to the fund. The fund…— Arthur Hayes (@CryptoHayes) December 21, 2023
This directive has prompted some applicants, Grayscale among them, to advocate for a hybrid approach, involving both in-kind and cash creations to foster a more efficient market structure.
