Mike Novogratz, the CEO of Galaxy Digital, believes that a Bitcoin ETF is likely to be approved within the first two weeks in January 2021. Novogratz did not cite any specific sources of information, but rather stated that he is “hearing murmurs” about a potential approval.
Novogratz noted that the Securities and Exchange Commission (SEC) must be swayed by what it views as substantial progress in the cryptocurrency market, including infrastructure improvements for custody, market-making, and other services. If satisfied with the progress, the SEC may be more likely to approve a Bitcoin ETF.
Novogratz believes that a Bitcoin ETF approval would drive significant inflows of capital into the asset, ultimately leading to a price increase. During an interview with Bloomberg TV, he compared the potential market impact with that realized when gold ETFs gained traction, noting that a similar phenomenon is likely for Bitcoin.
