The crypto community is on edge as Valkyrie Investments awaits a critical decision from the United States Securities and Exchange Commission (SEC) on a Bitcoin Exchange-Traded Fund (ETF).
There is speculation that the SEC could approve as early as Wednesday, allowing trading to begin on Thursday.
Valkyrie Investments co-founder Steven McClurg is optimistic about the potential approval and anticipates strong investor interest in their ETF.
Estimates range from $200 million to $400 million, with total inflows reaching $4–5 billion in the first few weeks after approval.
While not every applicant’s ETF will be available right away, McClurg predicts that around ten ETFs will be available at the same time.
He recognizes the complexities and challenges of establishing these ETFs, particularly the coordination between crypto and cash custodians.
Retail investors, according to McClurg, will be the early adopters of the new ETFs, with financial advisors likely to take their time before recommending them to their clients. He also anticipates a transfer of funds from Grayscale’s fund to these newly approved ETFs.
