After the U.S. Securities Commission (SEC) approved Bitcoin (BTC) spot exchange-traded fund (ETF) applications on January 10, trading of Bitcoin spot ETFs officially began on January 11, with total volume approx. It was 1.6 billion dollars. Grayscale (GBTC), BlackRock (IBIT), Fidelity (FBTC) and Ark (ARKB) topped the list of traded BTC ETFs.

This historic decision reinforces Bitcoin's status as a legitimate asset and potentially sets the stage for derivative investment products, including leveraged and short Bitcoin ETFs. Additionally, this decision could strengthen Bitcoin's role in decentralized finance (DeFi), particularly as a collateral asset, creating opportunities to further integrate the crypto industry with traditional financial markets.

Market analysts expect investment inflows into ETFs of approximately $10 billion in 2024. The effects of this development may be felt beyond financial markets.

The US regulator's approval represents a landmark moment for broader adoption and recognition of BTC and symbolizes a shift beyond cryptocurrency and the underlying blockchain technology. Such moments can reshape our economic system, shift perceptions of trust, and open up new world possibilities not yet imagined.

This week's Crypto Biz newsletter also covers topics like Brevan Howard and Hamilton Lane's tokenization of assets, Ripple's buyback, Core Scientific's oversubscribed equity offering, and Grayscale's fund rebalancing.