When will Bitcoin [BTC] ETF get approved? Here’s what an ex-ETF builder says 20305
News
Pinaz Kazi
Aug 4, 2018 at 3:20 PM

An ex-ETF builder of Blackrock, Mark Brady, said that the Bitcoin (BTC) ETF wouldn’t be approved by the end of this year. During an interview with CNBC Crypto Trader, Brady said an ETF is crucial for the crypto world from the standpoint of mass retail acceptance.

He believes so because an exchange-traded fund allows the customers to put capital in different underlying assets. For an average retail investor, getting exposure to these assets may be difficult, an ETF allows that. According to the interview as cited by AMBCrypto, “I don’t really foresee any Bitcoin market being regulated by the year-end and the fragmentation of liquidity means that you are unlikely to see one market have large dominance over the overall trading volume of BTC.”

See also: Bitcoin should touch $213,000 to become mainstream currency: UBS report

He further explained that there are a number of things in the crypto ecosystem that needs to be in place. So, one cannot expect that just Bitcoin ETF will encourage institutional investors to invest in cryptos. And by fixing things in the ecosystem, he meant solutions like custody – it will encourage institutional investors to start participating. Interestingly, such solutions have already started with Coinbase Custody. The San-Francisco-based crypto exchange announced on Friday that it will be exploring 40 digital assets. The crypto exchange currently acts as custodian for four cryptos —Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH) and Litecoin (LTC).

Brady also shared his viewpoint on the dissent published by the U.S Securities and Exchange Commissioner, Hester Peirce. According to Brady, the infighting in the SEC is obviously taking place regarding Bitcoin ETF approval. He believes that it’s “very unlikely” to get a Bitcoin ETF by this year-end.

See also: Banking giant believes its time for plan Bitcoin; will Bitcoin replace Fiat Money in the future?

He said,“But I think broadly speaking when you are talking about ETFs, you talk about the ecosystem and I have mentioned before that lack of qualified custodian in the ecosystem and I think until there is a regulated exchange with proper governance, there is a variety of custodian solutions. You’re not going to see an ETF approved by them.”

Image via Shutterstock

Join our telegram group