- Cathie Wood expressed optimism about the possibility of approval for a Bitcoin Exchange Traded Fund (ETF) by the U.S. Securities and Exchange Commission (SEC) in a recent interview.
- Wood mentioned that ARK Invest had set January 10 as the decision date and expected to be among the first in line for approval.
- Wood’s remarks came after erroneous reports circulated early on Monday. These reports claimed that the SEC had approved BlackRock’s spot Bitcoin ETF application.
ARK Invest CEO Cathie Wood explained her expectations regarding spot Bitcoin ETFs in a program.
ARK CEO Discusses Bitcoin ETFs
Cathie Wood, CEO of Ark Invest, began by acknowledging that ARK Invest responded to the SEC’s information requests regarding Bitcoin applications, although she did not disclose specific details. She implied that the SEC’s inquiry indicated a change in behavior and, therefore, increased the likelihood of approval for one or more Bitcoin ETFs. Wood stated:
“Many believe the SEC prefers to ask questions, and therefore, I believe the probability of one or more Bitcoin ETFs being approved has increased.”
There is a growing consensus that, following a court ruling that determined the recent rejection of Grayscale Investments’ application to establish a spot BTC ETF was incorrect, the SEC will issue guidance on how it will handle decisions concerning Bitcoin ETFs. This could act as a catalyst for the approval of many Bitcoin ETFs by the end of the year.
Moreover, due to the low likelihood of pursuing the appeals route, many believe the agency has few options left other than to approve the product. Wood emphasized that ARK Invest had set January 10 as the decision date and emphasized their expectation of being among the first in line for approval.
About ETFs and Market Impact
Wood’s comments, notably, came after false reports circulated early on Monday. These reports claimed that the SEC had approved BlackRock’s spot Bitcoin ETF application.
These reports briefly drove Bitcoin’s price up to $30,000. However, this excitement was short-lived, as the price quickly retreated to around $28,000, triggering numerous liquidations, after many experts voiced doubts. BlackRock later swiftly denied the claim, stating that their applications were still under review. Consequently, the publications retracted their reports and issued apologies.
