BlackRock Bitcoin ETF Will Bring New Money: Arca CIO

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There may be over 10 finan­cial giants fil­ing to launch a Bit­coin ETF, but accord­ing to one ana­lyst, Black­Rock­’s appli­ca­tion may be the one to watch.

In a CNBC video released Mon­day, Arca Chief Invest­ment Offi­cer Jeff Dor­man called Black­Rock­’s fil­ing “much more impor­tant” than the oth­er prospec­tive offer­ings. To date, oth­er appli­cants include Fideli­ty, Dig­i­tal Cur­ren­cy Group, and most recent­ly Franklin Tem­ple­ton, which joined the race just last week.

“If Black­rock has an ETF, you know that they are going to win. They have the mar­ket­ing and dis­tri­b­u­tion to put new peo­ple into Bit­coin,” Dor­man said.

Accord­ing to the CNBC, Black­Rock, one of the world’s largest asset man­age­ment firms, has been close­ly mon­i­tor­ing the cryp­tocur­ren­cy mar­ket for some time, even qui­et­ly explor­ing ways to incor­po­rate Bit­coin into its invest­ment strategies. 

This prospec­tive move by Black­Rock could sig­nal a major vote of con­fi­dence in the cryp­tocur­ren­cy and might encour­age oth­er insti­tu­tion­al investors to fol­low suit.

Else­where in the video, experts shed light on how a spot Bit­coin ETF could pro­vide tra­di­tion­al investors with a reg­u­lat­ed and acces­si­ble gate­way into the cryp­tocur­ren­cy mar­ket. Experts believe that once the SEC approves a Bit­coin ETF, it will like­ly attract a broad spec­trum of investors, from retail traders to insti­tu­tion­al play­ers, who have been wait­ing for a reg­u­lat­ed vehi­cle to enter the cryp­to space.

Already, Bit­coin Futures ETFs are pub­licly trad­ed, though these funds notably do not buy or sell Bit­coin on the open market.

Final­ly, the experts not­ed Bit­coin’s broad­er nar­ra­tive as a decen­tral­ized dig­i­tal cur­ren­cy and store of val­ue, as well as how the upcom­ing halv­ing, in which the rewards Bit­coin pays out to the min­ers that secure the pro­to­col will be reduced, could put a pos­i­tive pres­sure on its price dynamics.

Tak­en togeth­er, the CNBC report was con­fi­dent enough to declare a “next bull mar­ket” may soon be in store.

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