Top 3 reasons why ETF will increase Bitcoin massively in value!!
I. The last barrier preventing institutional investors from entering the cryptocurrency market is the lack of trusted custodianship. The custodians or “subcustodians” would be built up for the approved cryptocurrency ETF.
II. If an ETF is approved by the US Securities and SEC, anyone with a 401K, IRA, or an investment account with brokers can easily invest in the bitcoin market. The ETF could potentially add 30 million or more investors and add $400 billion or more in market cap.
III. There will be tons of other crypto products coming to the market if the SEC does approve the first cryptocurrency ETF, no matter whether it’s a single-coin ETP or indices.
Bitcoin ETFs do not currently exist in the U.S., but some experts believe if those products are approved, the largest cryptocurrency by market value could see a substantial price increase.
Some market observers speculate that bitcoin ETFs could drive the digital currency’s price as high as $35,000, well above the record high of around $20,000 last seen in December 2017.
“Michael Strutton, the CEO at IronWood, explained in a column that if an ETF is approved by the US Securities and Exchange Commission (SEC), anyone with a 401k, IRA, or an investment account with brokers like Fidelity and Ameriprise Financial can easily invest in the bitcoin market. Strutton noted that the result of a bitcoin ETF could be the price of BTC rising to at least $26,000 and below $44,000,” reports NewsBTC.com.
To this point, the SEC has not affirmed any of guarantors' endeavors to dispatch bitcoin ETFs. As of late, the Winklevoss siblings, the siblings that are hoping to present the main U.S. bitcoin trade exchanged reserve, the Winklevoss Bitcoin Trust, were granted a patent that some accept could help that ETF at long last wake up.
The United States Patent and Trademark Office allowed Winklevoss IP LLP a patent for trade exchanged items (ETPs) not long ago.
"In the event that ETFs include 24 million US financial specialists and the upward force includes 14 million from whatever is left of the world, at that point that includes $84 billion and $336 billion, individually, to the market top," as per Ironwood's Michael Strutton in a post on Medium. "In the course of recent months, Bitcoin's market top has swung from $326 to $110 billion."
At this written work Monday, bitcoin's fairly estimated worth dwelled just underneath $108 billion.
As of late, ETF mammoth VanEck and FinTech firm SolidX documented plans with the SEC for the VanEck SolidX Bitcoin Trust ETF (XBTC), a physically-sponsored bitcoin ETF. That reserve is focused at institutional financial specialists as it would make a big appearance with an offer cost of $200,000.
That item would track a list connected to a gathering of bitcoin exchanging work areas, perhaps easing a portion of the SEC's earlier worries about assets connected to physical bitcoin.
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