Sunday, June 23, 2024
Home > News > Bitcoin News > You can’t argue with Bitcoin’s success

You can’t argue with Bitcoin’s success

Martin expressed optimism about Bitcoin ETFs, highlighting their potential and the resources they’ve already brought to Wall Street

Lynn Martin, president of the New York Stock Exchange Group, expressed this optimism at Consensus 2024 when asked about the launch of Bitcoin (BTC) ETFs and the potential they hold for Wall Street. She cited the resources they have already brought to the market.

“We’ve been having conversations with the SEC for more than six years about Bitcoin ETFs,” Martin said in an interview. “I think you can’t argue with the success of Bitcoin ETFs and the liquidity it has brought to the underlying market.” 

Finance executives are increasingly interested in crypto, either directly or through ETFs, which has driven price surges in the crypto market. The spot Bitcoin ETF approval in January piqued traditional investors’ interest by bringing lots of liquidity to the market, Martin said. 

Washington and Wall Street’s crypto embrace

There have been strong price movements recently in crypto markets and Wall Street, and much of that can be credited to strong inflows into U.S.-listed ETFs. Crypto’s market cap has crossed over $1 trillion since Bitcoin ETFs were approved. 

A spot crypto ETF directly mirrors the price of a specific cryptocurrency and strategically allocates portfolio funds into that cryptocurrency. These funds are actively traded on public exchanges and reflect the performance of a particular cryptocurrency. Like other funds, crypto ETFs are readily available on standard stock exchanges, and investors can hold them in their brokerage accounts.

A spot Ethereum ETF was recently approved, providing investors with a regulated and accessible way to gain exposure to Ethereum. Other spot crypto ETFs could follow.

Martin’s comments come at a time of crypto optimism in the U.S. government. Last week, the U.S. House of Representatives passed the FIT21 bill. The bill clarifies how the SEC classifies crypto by creating a “digital commodity” term for digital assets.

The bill aims to eradicate scams, regulate crypto exchanges, and protect consumers while creating a stable environment for crypo — it essentially communicates that crypto is now a government issue.

Recently, Donald Trump started accepting campaign donations in crypto, signaling a larger industry embrace by politicians.

Source