SEC Will Eventually Approve Bitcoin Spot ETFs, Anthony Pompliano Believes
Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.
Venture capitalist, investor and Bitcoin advocate Anthony Pompliano has talked to CNBC's Squawk Box's host Joe Kernen about BTC and shared his take on what is likely to happen to the recent BTC ETF filings after the SEC made a complaint about them being "inadequate."
Overall, Pomp seems optimistic, believing that eventually, the SEC will approve a Bitcoin spot exchange-traded fund.
Bitcoin is up 85% to start the year, hash rate is hitting all-time highs, and the network is executing exactly as designed.
— Pomp 🌪 (@APompliano) July 3, 2023
Ignore the headlines. Do the work to understand what is happening.
Always enjoy talking with @JoeSquawk and @MelissaLeeCNBC.
pic.twitter.com/VmHEvX0ZuX
Pomp's take on SEC and recent spot ETF applications
The host started the conversation by asking for Pomp's take on why the SEC called BlackRock's filing and several others that followed it "inadequate" and asked what exactly inadequate about it, presuming that the SEC probably does not like Bitcoin.
On the other hand, the SEC is currently suing the Binance and Coinbase exchanges for violating U.S. securities laws and, on the other hand, it is turning down filings for a Bitcoin spot ETF.
Anthony Pompliano believes that the regulator just wants more clarity about the filings, as in, who is going to be custodians, who are the surveillance sharing agreements made with, etc. According to Pomp, the SEC just wants full and complete information on this in order to understand it.
Pompliano pointed out that CBOE has already refiled, mentioning that the surveillance-sharing agreement will be made with Coinbase, and the other entities who submitted filings, including BlackRock, are likely to follow suit here. He believes that the spot Bitcoin ETF will eventually be approved, at least for BlackRock, since this is one of the largest and most reputable players in the financial markets. However, whether it will happen a week after the reapplication, or in a month, or in a year, Pomp is not going to try to predict.
However, he believes that all this rush to apply for a Bitcoin spot ETF is shouting that Wall Street wants access to Bitcoin, and as soon as this ETF is approved, institutions will start pouring money into it, as happened when the Bitcoin futures ETF was approved.
Yuri MolchanBTC outperforms Nasdaq's record growth in 2023
Pompliano stated that, so far, 2023 has been good for the stock market; in particular, the Nasdaq Composite Index grew 32.7% since the start of the year. This is the fastest growth within the first half a year since 1983.
However, Bitcoin grew 85%, triple what the Nasdaq did. Pomp admitted to Kernen's argument that BTC is still more than 50% below its ATH of $69,000. However, the investor stated that Bitcoin's fundamentals keep growing; the hash rate has been surging to new all-time highs, and so has BTC adoption, and it may all be leading to the price growth that is expected, according to Pomp, after the Bitcoin halving event that will happen next year in April or May.
At press time, the flagship digital currency is changing hands at $30,689, according to the data from CoinMarketCap.
Gamza Khanzadaev
Vladislav Sopov
Dan Burgin