The latest filing for a spot Bitcoin Trust by BlackRock will drive the confidence of the investors in Bitcoin, and could even be the best thing that would ever happen to the cryptocurrency, according to some observers in the crypto industry- but others have talked of a hidden cost.
During an interview that took place on the 16th of June, Mike Novogratz, the CEO of Galaxy Digital stated that the approval of the application of the ETF would be the best thing that could ever happen to the cryptocurrency. The CEO stated that they believed in throwing caution to the winds every night that Larry Fink and the company pulled off a Bitcoin ETF. This was mentioned in a tweet by host Liz Claman.
BlackRock’s ETF Might Just Be The Boost BTC Needs
Interestingly, James Edwards of Finder.com, a cryptocurrency analyst, also informed Cointelegraph that the timing of the filing of BlackRock could provide confidence in both the crypto as an asset and also Coinbase in its next fight with the SEC. He further added that the willingness of the cryptocurrency to press on with a Bitcoin ETF at a time when the SEC was on a warpath against the entire crypto industry was pretty telling. This showed confidence in the status of Bitcoin as a commodity- rather than a security.
The intention of BlackRock to use Coinbase Custody in order to control funds should also be considered a massive confidence booster for Coinbase as it will be preparing a solid defense. Edwards added that the largest asset manager in the world would probably not partner with Coinbase if they were not too confident in the legal position of Coinbase. Others have argued that the latest moves of the traditional investment giant could undermine the decentralized cryptocurrencies.