Futures-based Bitcoin ETF has ‘75% chance of approval’ in October – analyst

A Bitcoin (BTC) exchange-traded fund (ETF) has a 75% chance of being approved this month – in one form or another.

In comments Over the weekend, Eric Balchunas, senior ETF analyst for Bloomberg, said US Bitcoin futures ETFs were “probably on schedule” for the regulatory green light.

“Very Alive” Bitcoin Futures ETFs

October began with the announcement by the Securities and Exchange Commission (SEC) of a frustrating but not uncommon delay in deciding whether or not to approve Bitcoin ETFs.

The various requests, instead of being allowed or denied this month, will now begin to be processed in November.

According to Balchunas, however, ETFs based on futures are more likely than not to be successful in the coming weeks.

“Yes, the SEC kicked off bitcoin ETF approval BUT this is for those who are physically supported under the Law of 33,” he told Twitter followers.

“The Law 40 futures ETFs (which Genz loves) are alive and well and probably on schedule (we think a 75% chance were approved in October).”

Balchunas referred to SEC Chairman Garry Gensler, who last week alluded to a permissive stance on instruments.

“Subsequently, we started to see deposits under the Investment Companies Act with respect to exchange-traded funds (ETFs) seeking to invest in bitcoin futures contracts traded by CME,” he said in his closing remarks at the Future of Asset Management North America conference. .

“When combined with other federal securities laws, the ’40 Act provides significant investor protections for mutual funds and ETFs. I look forward to the staff’s review of these files.

Canada’s Purpose Bitcoin ETF, which got the nod at the start of the year, beating US bids, continues to strengthen.

A long and winding ETF road

The history of Bitcoin ETFs now spans several years and has seen several watershed moments in which promoters were almost certain that the SEC would grant its approval.

Related: SEC Registrants Apply For Approval Of DeFi And A Physically Backed Bitcoin ETF

Originally, BTC price action could move significantly following rumors of such events, but this effect worsened over time.

The Bitcoin futures contracts themselves were officially approved in December 2017, in time for the final days of Bitcoin’s rise to all-time highs of $ 20,000.