The SEC deadline to approve or reject the Winklevoss Bitcoin ETF is March 11

SolidX and Grayscale have also applied for Bitcoin ETFs and are awaiting approval by the SEC. Now if one can buy a bitcoin at any exchange, why do we need ETF as another investment vehicle?
An ETF could change the Bitcoin pricing and market dynamics for sure. To start with, it would definitely increase public access to the currency.
1) Diversified investor base: It would create a gateway for institutional investors to invest in bitcoins while following their mandate of avoiding non-registered securities. It would also allow individual investors to invest in bitcoins by providing a more standard platform to trade bitcoins, make fractional investments and do away with the need to hold bitcoins and be vulnerable to security threats. With lots of potential investors entering the market, there would be a substantial boost to prices, but with a more diversified user base, there could be a possibility of lesser volatility.
2) Favourable shift in perception: Getting a SEC approval would mean another step towards legitimacy for Bitcoins. It would increase awareness and acceptance for the currency by enabling easy access and thereby encouraging investments, from the otherwise reluctant prospective investors
But again, despite the increasing acceptance, Bitcoin is still a relatively new investment option with lots of volatility and limited regulation. It would pay the investors to adopt a wait and watch approach, to see how the Bitcoin ETF saga plays out.
Read more about Bitcoins here:

Similar threads