Circle CEO Discusses Bitcoin ETF Applications: Can ETFs be Approved?

• Jeremy Allaire predicts that recent Bitcoin exchange-traded fund (ETF) applications will ultimately result in regulatory approvals.
• Bitcoin ETFs have long been a topic of interest and speculation in the crypto community and are already available in some countries such as Canada, Brazil, and Dubai.
• Allaire believes that digital value storage units like Bitcoin serve as a hedge in the context of constant inflation and weakening currencies.

Circle CEO Jeremy Allaire has made optimistic statements about recent spot Bitcoin ETF applications.

Circle CEO Comments on Bitcoin ETF Applications

Jeremy Allaire, co-founder and CEO of financial technology company Circle, predicts that recent Bitcoin exchange-traded fund (ETF) applications will ultimately result in regulatory approvals. He noted that concerns previously expressed by financial regulatory bodies have been addressed, opening the way for approval.

Allaire said the following in the interview:

“I think progress has been made in more mature market structures that would support something like this. You have mature spot markets, you have well-regulated custody infrastructure, you have good market surveillance.”

According to the Circle CEO, “many past concerns are being addressed,” which suggests to him that Bitcoin ETFs are “more likely to be approved for general investor access.”

An ETF is an investment fund that allows investors to be exposed to a specific asset or group of assets. In the case of a Bitcoin ETF, investors can buy and sell shares representing ownership of Bitcoin without directly holding the cryptocurrency.

Bitcoin ETFs have long been a topic of interest and speculation in the crypto community and are already available in some countries such as Canada, Brazil, and Dubai.

However, the U.S. Securities and Exchange Commission (SEC) has not been convinced that a Bitcoin ETF is a reasonable investment vehicle and has expressed concerns about potential fraud or manipulation practices and the desire to protect investors.

However, Allaire believes that digital value storage units like Bitcoin serve as a hedge in the context of constant inflation and weakening currencies.

In recent weeks, the SEC has faced a new wave of Bitcoin ETF applications. The first application was submitted by Wall Street giant BlackRock on June 15, followed by new applications from WisdomTree, Invesco, Galaxy Digital, and Valkyrie Investments.

Interest in Crypto Investment Products is Growing

The institutional interest in crypto-based investment products has also been highlighted in the latest report published by digital asset management company CoinShares.

According to the report, the total assets under management in crypto investment products reached a new annual record, surpassing $37 billion last week.

The Bitcoin Strategy ETF (BITO) owned by ProShares, which strategically invests in CME Bitcoin Futures to track the price of Bitcoin, has become the largest entry with over $1 billion in total assets under management in the U.S.