Spot Bitcoin ETF Approval On The Horizon, Says Coinbase CEO
Coinbase CEO Brian Armstrong expressed optimism about the approval of a spot Bitcoin ETF, despite historical resistance from the SEC.
While acknowledging he lacks insider knowledge, Armstrong emphasized the apparent progress and speculated that approval might be on the horizon, possibly in the coming year. He pointed to recent court decisions challenging the SEC’s denial reasons for Bitcoin ETFs, suggesting the regulator may need new justifications for rejection. Armstrong highlighted the SEC’s recent meeting with Grayscale regarding its Bitcoin ETF application and the delayed decisions on Franklin Templeton and Hashdex’s ETF bids, potentially paving the way for simultaneous approvals.
Coinbase, a preferred custodian for 10 out of 13 Bitcoin ETF issuers, including newcomer Pando Asset, could play a central role in holding billions of dollars’ worth of Bitcoin for these funds. Armstrong defended the concentration, asserting it’s a testament to Coinbase’s trustworthiness. He welcomed more custodians entering the space in the long term, envisioning a diverse crypto custody ecosystem. The approval of a spot Bitcoin ETF holds significant revenue potential for Coinbase, particularly through custody fees.
Clever Robot News Desk 2nd December 2023