Swan Bitcoin CEO Cory Klippsten believes that spot Bitcoin exchange-traded funds (ETFs) will revolutionize the way people enter the crypto market. In a recent interview with Bloomberg, Klippsten explained that Bitcoin ETFs provide an alternative entry point for investors, eliminating the need for flashy marketing strategies that have dominated the crypto space since 2017.
Klippsten clarified that an ETF is essentially an IOU for Bitcoin, differentiating it from futures-based alternatives. While it represents a paper form of the cryptocurrency, it requires the firm to back investors by purchasing actual Bitcoin. This makes it a great tool for people who want to dip their toes into Bitcoin before diving deeper into the market.
Klippsten shares the optimism of fellow crypto analysts who predict that Bitcoin ETFs will be approved in January. He believes that the window for approval has been narrowed down to January 8th, 9th, or 10th, based on signals from the SEC and insiders in the industry.
In related news, banking giant Standard Chartered recently forecasted that Bitcoin ETFs will drive the price of Bitcoin up by 165% by the end of 2024. Geoff Kenrick, the head of EM FX Research, West and Crypto Research at Standard Chartered, mentioned that there is a possibility of further price increases before April 2024.
Overall, the introduction of Bitcoin ETFs is expected to bring significant changes to the crypto market, providing a more accessible and regulated entry point for investors.