BitGo CEO Mike Belshe expressed optimism about the potential approval of spot Bitcoin (BTC) exchange-traded funds (ETFs), citing positive signs emerging from ongoing discussions between the companies seeking approval and the U.S. Securities and Exchange Commission (SEC). Belshe conveyed his confidence in an imminent approval but cautioned that challenges remain on the path forward.
In a recent interview with Bloomberg, Belshe highlighted the need for structural improvements in the market before the SEC grants approval for a Bitcoin ETF. He anticipated a probable continuation of ETF rejections until there's positive development: "I think we’re probably going to have another round of ETF rejections until we get some positive news." He stressed the SEC's requirement to separate cryptocurrency exchanges from custodians as a crucial factor for approval.
Moreover, Belshe referenced the former CEO of FTX, Sam Bankman-Fried, who had presented comprehensive regulatory points in Washington, D.C., to establish FTX as a multi-faceted business. Bankman-Fried's proposal aimed to undertake various functions, emphasizing efficiency and overall positive impact.
Recent excitement regarding the potential approval of a spot Bitcoin ETF has driven a surge in fees on the Bitcoin blockchain. On November 16, fees on the Bitcoin blockchain soared to $11.6 million, witnessing a substantial increase in average transaction fees, rising by 746% compared to the figures from 2022.
Amid these developments, Bitcoin has sustained its position near an 18-month high, indicating a shift out of the bear market trading range. Currently, 12 asset managers are awaiting the outcome of their Bitcoin ETF applications, with Bloomberg analyst James Seyffart suggesting a 90% likelihood of approval by January 10, 2024.
