- Cathie Wood expressed new optimism about the potential approval of a Bitcoin spot ETF in the United States and noted that the chances of such a decision are “increasing.”
- The path to approval for a Bitcoin spot ETF in the United States has been marked by applications, delays, and discussions with the SEC.
- Spot Bitcoin ETFs provide direct ownership of the underlying asset, Bitcoin, while Bitcoin futures ETFs contain contracts based on Bitcoin’s future price.
Cathie Wood, CEO of ARK Invest, shared her updated assessment of Bitcoin spot ETF applications in the United States, expressing positive sentiments.
ARK Invest CEO Believes in Spot Bitcoin ETF
Cathie Wood, an influential innovation investor from ARK Invest, expressed new optimism about the potential approval of a Bitcoin spot ETF in the United States and noted that the chances of such a decision are “increasing.”
These remarks come as several organizations, including existing companies like Fidelity and BlackRock, continue their efforts to launch a Bitcoin ETF in the United States, demonstrating increased interest in providing investors with easier access to crypto.
The path to approval for a Bitcoin spot ETF in the United States has been marked by applications, delays, and discussions with the SEC. While several proposals have been made by leading financial companies like VanEck and Fidelity, the SEC has postponed its decisions on these applications. However, Wood’s recent statements indicate her overall optimism:
“We are collaborating with 21Shares in the U.S. and, if approved by the SEC, we hope to launch a Bitcoin ETF. We think the chances of approval are increasing.”
In the absence of a spot ETF, investors have turned to Bitcoin futures ETFs, which have already been approved and are active in the United States. These ETFs provide exposure to Bitcoin’s price movements by investing in regulated futures contracts traded on exchanges.
However, there is a significant distinction between spot and futures-based ETFs. Spot Bitcoin ETFs provide direct ownership of the underlying asset, Bitcoin, whereas Bitcoin futures ETFs include contracts based on Bitcoin’s future price, potentially introducing additional complexities and risks.
Wood Doesn’t Expect Any Issues
While the United States grapples with the approval of spot Bitcoin ETFs, other countries like Canada have already approved and launched similar products. As Wood continues her efforts to offer more crypto products in Europe, she stated that she does not anticipate any issues for Ark Invest:
“My sense is that there will be no issues. However, we are still working through it with our partners who are in discussions with regulators.”
As discussions and negotiations between financial institutions, regulators, and the SEC continue, the crypto community will closely follow developments in hopes of a future approval for Bitcoin spot ETFs.
