QCP Capital, a Singapore-based cryptocurrency investment firm, recently held a virtual panel in which the firm’s co-founder and partner, Jeffrey Huang, said that he does not expect spot Bitcoin exchange-traded funds (ETFs) to hit the market until at least 2024.
Huang made the prediction in response to a question about whether there will be a Bitcoin ETF in the near future. He noted that, while the US Securities and Exchange Commission (SEC) is making progress on approving the first Bitcoin ETF for some time in 2021, the process is not expected to be completed until well into 2022. Huang further added that, even if the SEC is able to approve a Bitcoin ETF by then, it could still face resistance from mainstream institutions bringing it to the market, which could delay its launch until 2024.
Huang said that he believes institutional-grade custodial and risk management solutions must be in place before an ETF is approved, and that this may take longer than two years. He also noted that the SEC first needs to be comfortable with the concept of a Bitcoin ETF before it is approved.
Although Huang’s prediction implies a delay in the launch of a potential Bitcoin ETF, he also expressed optimism about the future of the cryptocurrency market. He said that he believes the cryptocurrency market is maturing and that he expects average transaction sizes to increase in the coming years. He also noted that he is confident in the long-term growth potential of Bitcoin and other digital assets.
