Grayscale Investments anticipates that the Securities and Exchange Commission (SEC) will approve spot bitcoin exchange-traded funds (ETFs), allowing the $30 trillion advised wealth market to get exposure to bitcoin. “I do think there is a lot of optimism in the market,” said the CEO of a crypto asset manager. “I think a lot of investors are adding bitcoin to their portfolios.”
In an appearance on CNBC today, the CEO of Grayscale Investments, Michael Sonnenshein, shared insights regarding the potential impact of a spot Bitcoin Exchange-Traded Fund (ETF) on the cryptocurrency market. Sonnenshein highlighted that a spot Bitcoin…
— Josh Peterson (@bkc219) December 18, 2023
Grayscale CEO is optimistic about the market.
Michael Sonnenshein, CEO of crypto asset manager Grayscale Investments, spoke with CNBC and Bloomberg on Monday about his views on bitcoin and the market’s expectations regarding the potential approval of spot bitcoin exchange-traded funds (ETFs) by the US Securities and Exchange Commission (SEC).
According to an interview he gave to CNBC, “If you look back on this year, both macro and micro forces have driven the price appreciation you’ve seen in bitcoin.” “On the macro front, inflationary pressure and rising rates have caused investors to think about bitcoin as a store of value or a hedge in their portfolios.”
Grayscale's CEO is certainly optimistic about the potential impact of such a move. It's hard to say for sure if this will come to fruition, but it's certainly an exciting prospect for the crypto industry.
— Dreezy UDAO (@Dreezy619028278) December 18, 2023
Grayscale has filed an SEC application to transform its bitcoin trust (GBTC) into a spot bitcoin ETF. Despite the SEC’s first rejection, Grayscale challenged the decision in court, resulting in a court order for the SEC to reconsider the application.
We’re talking about the advice market in the United States, which has around $30 trillion in advised wealth today.
“We hope the approval of spot bitcoin ETFs [and] the uplisting of GBTC will allow for that opportunity and those investors to partake in it as well,” he said.
Sonnenshein stated that Grayscale preferred in-kind redemptions above cash redemptions for spot bitcoin ETFs. “Our positioning here is that the model works, it works well, it protects investors, it creates tight spreads, it creates liquidity, and ultimately creates a positive investor experience.”
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