The approval of Spot Bitcoin exchange-traded funds (ETFs) in the United States was a game-changer for the crypto market, causing a significant surge in demand and fundamentally changing market dynamics.
In a new video, Cointelegraph spoke with experts about the significant impact of this milestone and the prospects for more ETFs to be approved in the US.
“It's actually not just about the U.S. market,” said Ophelia Snyder, co-founder of 21Shares. “Removing this huge risk of what U.S. regulators are going to do with Bitcoin changes the risk and return profile of the asset,” she touts.
Immediately after approval, the Spot Bitcoin (BTC) product became one of the most successful ETF launches in history, attracting billions of dollars in capital inflows. This shows that there is a huge demand for Bitcoin among institutional investors.
“We'll probably see well over $15 billion by the end of the year,” said Eric Balchunas, senior ETF analyst at Bloomberg.
The Spot Ether (ETH) ETF is likely to start trading soon, but most analysts agree that it is unlikely to be as successful as its predecessor. Still, such investment products are likely to increase Ether's popularity among institutional investors. “This is an invitation to understand more about the Ethereum ecosystem,” argued Michael Worthorne, Galaxy’s head of communications.
If you want to learn more about how ETFs are reshaping the crypto market, check out the full video and don't forget to subscribe on Cointelegraph's YouTube channel.
