According to a recent report by Bitwise, most financial advisors in the US are interested in purchasing Bitcoin (BTC) after the SEC’s (Securities and Exchange Commission) approval of a spot ETF. According to the report, 88% of respondents see a spot BTC ETF as a catalyst for more adoption.
However, despite the positive outlook on a spot BTC ETF, only 39% of financial advisors believe that the SEC will approve a spot BTC ETF in 2024. The response contrasts Bloomberg’s 90% chance of a spot ETF in January 2024.
Also Read: Senior Bloomberg Analyst Says Spot Bitcoin ETF Approval is Close
The report highlights that only 19% of financial advisors can buy crypto with client accounts. The approval of a spot Bitcoin ETF may change this aspect. Moreover, 98% of advisors want to increase crypto exposure for clients in 2024. Additionally, clients themselves are interested in the emerging asset class, as 88% of them have questioned advisors about the same.
However, regulatory uncertainty remains one of the most significant barriers to more adoption. 64% of advisors said that regulatory uncertainty has stopped them from getting more exposure to crypto.
Will a spot Bitcoin ETF lead to a surge in institutional funding?
The conclusion seems pretty clear that most financial advisors are open to Bitcoin (BTC) exposure. However, regulatory uncertainty has stopped financial institutions from completely opening their doors to crypto. If the SEC approves a spot BTC ETF, it would lead to more financial regulation for the budding asset class. An approval by the SEC could pave the way for more institutional funding for the crypto industry.
Also Read: Bitcoin: BlackRock Delays $10 Million BTC Purchase, Here is Why
The approval of a spot Bitcoin (BTC) ETF may also lead to retail clients pouring their money into the asset. Both developments could usher in a new bull run for BTC, taking it to new heights.