If you haven’t learned about ETFs, then now is the time to.
The SEC is ready to legalize ETFs for the Ethereum crypto.
Here’s a Bit More History On the Topic:
On January 10, 2024, the official launch of Bitcoin ETFs at spot prices went live. It wasn’t long ago, but now, the market is shifting its focus because, unlike owning crypto directly, ETFs give institutional investors, being those on Wall Street, the safest way to bank in on crypto.
Though these institutional investors are only NOW pushing for an ETF for Ether, their motivation comes after Bitcoin ETFs succeed. Bitcoin hit a whopping $52,862 on February 16th.
The Ethereum crypto also broke past its $2,700 ceiling in the first weeks of February. Right before BTC’s peak, on February 15th, Ether went as high as $2,870. Since January, ETH rose 15% in a 15-day rally, and rumor has it that U.S. talks to legalize an Ether ETF are the culprit.
ETFs Now Lead to a Wider Adoption of Ether
Binance
- Low fees
- One of the largest crypto exchanges
- Fee discount for using native BNB
Binance
There’s a very unique development, which may be difficult to understand at first, that’s underway solely because ETFs give Wall Street “ZERO” liability. All of the leading crypto news sites are covering it, but it might take time to understand it if you don’t know what an ETF is.
Though ETFs were offered for Bitcoin before, the U.S. Security and Exchange Commission (SEC) hadn’t approved them until about two weeks ago. What made Bitcoin push past $50,000 in early February might best be described as Wall Street money entering crypto via ETFs.
We’ve now confirmed that the SEC is likely to approve Ethereum ETFs by as early as May 2024. Smart investors are likely aware and getting in as soon as possible.
The Inevitable Road Toward Crypto Adoption …
What’s throwing some crypto investors off is their lack of understanding of American Wall Street.
That financial industry, in whole, will always try to reduce risk in order to maximize gains. This is why every major coverage in the crypto market is giving the rise of ETFs credit behind Ether’s push. You see, if Ether fails, you won’t have trouble selling it. That is if you own it as an ETF.
For investors who own it in their wallets, instead, well, they could lose it all.
What Then Is an ETF?
An ETF is a price derivative that changes in value as the asset it represents changes.
In this case, exchange-traded funds (ETFs) allow you to trade without actually owning anything. It’s the ability to benefit from prices without the liability of ownership that appeals to institutional investors. Considering Bitcoin’s stint over $46,000 per coin, ETFs are even more attractive now.
If you’re also excited about the current market events, then take a look here at our guide for ETFs. You’ll find all the data you need and simple but quick ways of getting involved.
