7 Reasons Why Everyone is so Excited about a Bitcoin ETF!

Most of the posts on CryptoTwitter (X) in the last couple of weeks have mentioned the Bitcoin ETF.  This has only increased as the possible approval day looms closer and closer.  By now, I’m just assuming that James Sayffart (@JSeyff) and Eric Balchumas (@EricBalchunas), both of whom work for Bloomberg and cover ETFs, are needing two naps a day just to manage staying on top of it all.  

If you want to stay up to date on what is happening with the Bitcoin ETF, follow these experts who have been helping the entire Cryptoworld separate fact from rumour each and every day.

So, what’s the big deal? After all, there are already Bitcoin ETFs in Canada, Germany and Australia.  Also, anyone can login to Coinbase or Kraken and buy some Bitcoin themselves.  No need for an ETF.

So, is it actually a big deal then? The answer to that question is a resounding, “YES!”  That is according to just about every Bitcoin Maxi, Youtuber, and financial analyst who has spoken about it.  

Let’s dive a little deeper into why everyone is so excited with our 5 Reasons Why Everyone is Excited About a Bitcoin ETF

Reason 1: The Battle Commences

Some of the largest financial institutions around are getting involved.  In fact, there are currently 11 different Spot Bitcoin ETFs waiting for approval.  Just look at this list:

With an  approval from the SEC,  all of those companies will be in a race to have the biggest and best ETF.  Imagine how many people already invest with Fidelity and Blackrock alone.  Now imagine those companies pushing their products on their clients so they can come out as winners in this ETF battle. In fact, this battle has already started. Even before approval from the SEC these companies have begun their marketing campaigns with commercials, like these ones below: 

This marketing war will put Bitcoin in front of more people than ever before, providing everyone with an additional investing option and a simpler way into Bitcoin.

Reason 2: Blackrock and Larry Fink

Although other companies had filed for Bitcoin ETFs before them, when Blackrock filed to launch a Bitcoin ETF everything changed. They are the world’s biggest asset manager with over 9 trillion in assets, and their track record of getting ETF approvals is unmatched, with 575 approvals to only 1 rejection.  So, the moment they filed, people began to believe and it became big news. On top of that, Larry Fink, Blackrock’s CEO, and someone who had been skeptical of Bitcoin in the past, said this in June:

So with Larry Fink and Blackrock involved, people have a hard time seeing anything other than the Bitcoin ETF being a huge success.

Reason 3: The Financial Wrapper

Most people believe that the Bitcoin ETF will allow many more people, firms and companies to invest in Bitcoin. That is because buying Bitcoin isn’t always easy and it definitely isn’t familiar for traditional investors. Having Bitcoin in a traditional and familiar finance wrapper, like an ETF, will allow companies and firms to safely access the cryptocurrency in a way they are used to. These companies often have strict risk management protocols which can make direct investment in cryptocurrencies challenging. It’s a similar story for individuals, especially those who aren’t as tech savvy.  Right now, buying bitcoin and keeping it safe requires some technical know-how and it’s not straightforward. Being able to login to a brokerage they already work with and buying shares in an ETF in the exact way they already do it will make people feel comfortable. Certainly more comfortable than learning how to deal with crypto exchanges and cold storage. This new way of accessing Bitcoin could bring millions more investors into the space.

Reason 4: Bitcoin Growing Up

Many Bitcoiners have been waiting for this moment for a long time. Bitcoin has had so many ups and downs in its history, and a lot of those ‘downs’ have been times when the cryptocurrency has been attacked as not legitimate and only good for criminal activity.  Yet now, finally, Bitcoiners are seeing their belief pay off. Having the SEC approve a spot Bitcoin ETF will provide a legitimacy to the asset that has been missing in some circles.

Reason 5: Number Go Up!

I’m sure there are a number of Bitcoiners who are excited because they see a Bitcoin ETF approval as another big step towards Bitcoin becoming the world’s reserve currency. They believe that Bitcoin replacing fiat currencies would solve a number of the problems in our world.  Still, it seems that most people are so excited about this Bitcoin ETF because the value of Bitcoin could rise dramatically!  There are legitimate people calling for Bitcoin to be valued at more than $100,000 this year; some even saying $250,000 or possibly 1 million dollars!  While there’s lots of debate about the exact number, there is a general consensus that the approval of a Bitcoin ETF will play a huge role in driving price up in the long run.