This Year, the Number of ETFs Launched in the U.S. Approaches 500: Could Spot Bitcoin ETFs Be Included?

• Bloomberg’s Senior ETF Analyst Eric Balchunas believes that the United States will likely have around 500 approved exchange-traded funds (ETFs) this year.
• According to Johnson, a significant number of ETFs have been launched this year, making it the second-highest number for any calendar year after 2020, which had 274 recorded.
• Balchunas is very optimistic about launching 500 ETFs by the end of this year and sees the possibility of achieving this by adding at least 2 new ETFs.

Eric Balchunas believes the US will have 500 ETFs this year: Could these ETFs include spot Bitcoin ETFs?

The United States Could Have 500 ETFs This Year

Bloomberg’s Senior ETF Analyst Eric Balchunas believes that the United States will likely have around 500 approved exchange-traded funds (ETFs) this year. The shared statistics reflect the likelihood of including at least one spot Bitcoin ETF, following Morningstar asset manager Ben Johnson sharing a screenshot on the X app.

According to Johnson, a significant number of ETFs have been launched this year, making it the second-highest number for any calendar year after 2020, which had 274 recorded. Specifically, 478 ETF products have been launched so far, and out of these, 208 have been closed. Additionally, a total of 34 investment fund-ETF conversions have taken place.

Balchunas is very optimistic about launching 500 ETFs by the end of this year and sees the possibility of achieving this by adding at least 2 new ETFs. He suggested that this situation could be a direct byproduct or reflection of the $2 billion cash ETF purchase during the day. The analyst stated, “All systems are ready right now.”

None of these launched ETFs are a spot Bitcoin ETF that the SEC in the U.S. has not yet approved as the first proposal in the region. Top-tier investment asset management firms such as BlackRock, Invesco, Valkyrie, VanEck, and many others hope to obtain approval for Bitcoin ETFs by submitting separate applications to the SEC.

Bitcoin ETF Coming Soon

Rather than welcoming these applicants with open arms, the agency has decided to postpone the decision on at least 7 applications. Since BlackRock submitted its spot Bitcoin ETF application to the SEC in June, the regulatory body has repeatedly delayed its decision.

The trend is now changing, and the SEC’s Division of Trading and Markets actively working on making a decision as soon as possible by engaging with potential ETF issuers. So far, it has been reported that Grayscale Investments and BlackRock have met with SEC officials, a move that solidifies the expected approval probability.

All signs point to the final approval of a Bitcoin ETF this time. While expectations are high, it is unlikely that the decision will come this year because the next decision window is scheduled for January 5-10, 2024.