There may be more than 10 financial giants applying to launch a Bitcoin ETF, but according to one analyst, BlackRock may be the one to watch.
In a CNBC video released Monday, Jeff Dorman, Arca’s chief investment officer, called BlackRock’s bid “far more significant” than other potential bids. So far, other suitors include Fidelity, Cryptocurrency Group, and most recently Franklin Templeton, which joined the race just last week.
“If Blackrock has an ETF, you know they’re going to win,” Dorman said. “They have the marketing and distribution to attract new people to Bitcoin.”
According to CNBC, BlackRock, one of the world’s largest asset managers, has been keeping a close eye on the cryptocurrency market for some time, even quietly exploring ways to incorporate Bitcoin into its investment strategies.
This highly anticipated move by BlackRock could signal a major vote of confidence in the cryptocurrency and may encourage other institutional investors to follow suit.
Elsewhere in the video, experts highlight how a Bitcoin ETF can provide traditional investors with a regulated and accessible gateway into the cryptocurrency market. Experts believe that once the SEC approves the Bitcoin ETF, it will likely attract a wide range of investors, from retail traders to institutional players, who have been waiting for a regulated instrument to enter the cryptocurrency space.
Indeed, Bitcoin futures funds are publicly traded, although these funds privately do not buy or sell Bitcoin on the open market.
Finally, experts noted the broader narrative of Bitcoin as a decentralized digital currency and store of value, as well as how the upcoming halving, where the rewards that Bitcoin pays to miners who secure the protocol will be reduced, could put positive pressure on its price dynamics.
Taken together, the CNBC report was confident enough to declare that the “next bull market” may soon be in store.
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