According to renowned financial analyst Brian Kelly, the first Bitcoin ETF approval can be expected sometime by February 2019.
This latest forecast by Kelly closely follows the US SEC’s decision to quash a total of nine ETF proposals that were submitted by three different companies earlier this week.
If you don’t already know, an ETF can be thought of as a ‘mutual investment fund’ that separates the ownership of a commodity into shares. However, since ETFs are marketable securities, they require the supervision of financial authorities— which is also the very reason why the approval of the SEC is required before such an offering can be issued.
Kelly Continues to Remain Optimistic
During his interview on Fast Money, Kelly explicitly looked at all of the concerns that were laid out by the SEC. For starters, the government agency said that the ETF proposals that had been submitted to it were largely susceptible to fraudulent and manipulative acts and practices.
In response to this, Kelly said :
“[When] the SEC talked about fraud and manipulation, it wasn’t so much about preventing it, but how do they surveil it? Do they have an arrangement with other [globally or nationally regulated] exchanges [that would enable them to] surveil what’s going on?”.
While he did agree with the SEC’s assertion that the Bitcoin Futures market was quite nascent and thus prone to management issues in the future, Kelly also added:
“Here’s CME Futures open interest of large holders. [As of] April, you’re starting to see a big increase… about an 85 percent growth rate. If you extrapolate that out, by February 2019, you’re going to have a very robust market here.”
While nobody knows what the future holds, a change of sentiment from the SEC seems to be looming in the air. While Bitcoin continues with its economic struggles, the market at large seems to be growing at a rapid pace.
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