

Does Grayscale’s Win Against the SEC Mean a Spot Bitcoin ETF Will Be Approved? - Ep. 539
Sep 1, 2023
This week, Eric Balchunas, Senior ETF analyst at Bloomberg Intelligence, dives into Grayscale's recent legal victory against the SEC and its implications for a spot Bitcoin ETF. He discusses why the approval likelihood has surged from 50% to 75% and the potential influx of investment that could follow. Eric unpacks the SEC's possible responses, the competition among major firms like BlackRock and Fidelity, and how a spot ETF could serve as a bridge for Baby Boomers into the crypto world.
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Episode notes
Spot Bitcoin ETF Likelihood
- Grayscale’s win against the SEC increases the likelihood of a spot Bitcoin ETF approval.
- The court’s decision, language, and bipartisan nature significantly impacted this outlook.
Spot vs. Futures ETFs
- Approving Bitcoin futures ETFs while denying spot Bitcoin ETFs seems inconsistent.
- Spot ETFs offer a safer, more direct investment compared to futures or trusts like GBTC.
Roll Costs of Futures ETFs
- Bitcoin futures ETFs can lag behind spot prices due to "roll costs."
- These costs arise from selling expiring futures contracts and buying newer ones.