Since the first attempt made by Winklevosses to come up with a Bitcoin Exchange Traded Fund, it was rejected by the US securities regulator in March of 2017, this conversation lay largely dormant. But when their second attempt an ETF was shot down by the US Securities and Exchange Commission (SEC) in July of this year, this conversation was reignited. The falling prospects of a bitcoin ETF have crowded the headlines of mainstream and crypto media. ETF is a fund that holds an underlying asset or assets commodities, bonds which are then divided into shares for the investors to buy. In other words, ETF functions like a hedge fund.
The first who tried to bring a bitcoin exchange-traded fund (ETF) to market was Cameron and Tyler Winkle’s boss in 2013. After 7years and after many attempts from other issuers like Bitwise and Van Eck SolidX, all have been opposed by the Securities and Exchange Commission (SEC). But nothing has come better. But still, they all keep trying. In a statement sent to Business Insider on Wednesday, the president of Gemini, Cameron Winklevoss said that we believe in and remain committed to the ETF, he also said that we understand the concerns of SEC and the need to get it right. With that, while the approval process is spending, we build our platform so that accessing bitcoin is simple and secure for retail and institutional visitors alike.
Some experts said that it is only a matter of time until a bitcoin ETF is approved. The president of ETF store, NateGeraci, and also an outspoken advocate for the allowance of a bitcoin ETF product, is also one among them. He was quoted as saying that he thinks that an ETF will make it to the market in 2021 and potentially before the end of this year 2020. Geraci is optimistic, the one reason for that the demand for such a bitcoin product is surging. He also points out to the massive influx of cash into the Grayscale Bitcoin Trust(GBTC), he said that if GBTC where an ETF it would be in the top 10% of ETFs by assets, that proves the investment case and it proves investor demand around a bitcoin product. GBTC took over $ 750 million during the remarkable second quarter. There are several hurdles that bitcoin faces. ETF functions similarly to ETFs for other commodities for commodities like gold and silver in the case of bitcoin. The investors see the bitcoin ETF as something that could push the market to new heights.
