In a recent Wednesday interview with CNBC's "Squawk Box," Galaxy Digital CEO Mike Novogratz weighed in on the fevered speculation surrounding the possible approval of a spot Bitcoin exchange-traded fund (ETF). Novogratz, who has partnered with Invesco for an ETF application, voiced his optimism about the prospects of such a product finally being launched in the U.S. in the near future.
Now that institutions like BlackRock and others are pushing forward with their applications, the approval has become a matter of not if, but when.
Is approval imminent?
Novogratz strongly believes that a Bitcoin ETF will see approval this year. He mentions the fact that the U.S. Securities and Exchange Commission (SEC) lost its case about its refusal to approve a past ETF despite previously greenlighting a futures-based ETF.
Novogratz also mentioned the immense public demand for such a product, emphasizing BlackRock's vocal support for Bitcoin and its intentions to secure a spot Bitcoin ETF.
Further, he has observed a notable shift in the SEC's approach. The cryptocurrency mogul to public filings and comment periods as indicators of a more constructive dialogue.
Novogratz's prediction appears to be in line with the general consensus within the industry. As reported by U.Today, Bloomberg analysts recently opined that there is a more than 90% chance of a Bitcoin ETF being approved before Jan. 10 following the aforementioned developments.
Investor Anthony Scaramucci also remains bullish on Bitcoin, citing the name of BlackRock CEO Larry Fink as the three main reasons for his optimism.
Pivotal day for ETF watchers
This Friday has captured the attention of those tracking the Bitcoin ETF quest.
A D.C. court is slated to issue a mandate related to an August opinion that favored Grayscale Investments LLC, which previously took legal action against the SEC in its bid to convert its Bitcoin trust (GBTC) into an ETF. This follows the SEC's recent decision not to appeal a previous ruling it lost.
Many industry watchers await further clarity on the ETF-approval process, which has, until now, remained shrouded in uncertainty.
The prospect of launching a U.S.-based Bitcoin ETF has faced more than a decade of challenges.