Bitcoin ETF to trigger massive demand from institutions, EY says

Bitcoin (BTC) is successful monolithic request from organization investors, but awaits a spot BTC exchange-traded money (ETF) support to trigger a buying rally, according to a blockchain enforcement astatine the nonrecreational services supplier Ernst & Young (EY).

EY’s planetary blockchain person Paul Brody believes that Bitcoin is facing a batch of pent-up request from institutions owed to United States regulators not approving a spot Bitcoin ETF for years.

Brody discussed the outlook for the cryptocurrency adoption connected CNBC's Crypto Decrypted connected Oct. 23, declaring that trillions of dollars successful organization wealth are waiting to participate Bitcoin erstwhile a BTC ETF is approved.

“But immoderate of these different organization funds, they can't interaction this worldly unless it's an ETF oregon immoderate different benignant of regulatory blessed activity,” EY’s blockchain adept said, adding:

“If you look astatine radical who are buying Bitcoin, they are buying it arsenic an asset. They are not buying it arsenic a outgo tool. Those who are buying Ethereum, are buying it arsenic a computing level for concern transactions and DeFi [decentralized finance] services.”

Brody’s remarks travel amid planetary investors intimately watching the crypto regulatory process by the United States Security and Exchange Commission (SEC), which has not approved a azygous spot Bitcoin ETF truthful far. A fig of companies, including Grayscale Investments, ARK Investment, BlackRock and Fidelity person filed with the SEC for aggregate Bitcoin ETF products and are awaiting regulatory response.

Related: Grayscale files for caller spot Bitcoin ETF connected NYSE Arca

Grayscale, which successful August 2023 won an SEC suit for a spot Bitcoin ETF review, has precocious filed an S-3 signifier registration statement with the SEC to database its Grayscale Bitcoin Trust connected the New York Stock Exchange Arca.

According to Bloomberg elder ETF expert Eric Balchunas, a caller amendment to the spot Bitcoin ETF by ARK Invest and 21Shares is simply a “good sign” of advancement and impending approvals. The ETF adept believes that the ETF amendments filed successful mid-October 2023 could beryllium successful direct effect to concerns the SEC has asked ETF issuers to address.

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