Will a Physical Bitcoin ETF Be Approved Within 2023? Predictions by Galaxy Digital's CEO

Dive into expert opinions and industry forecasts regarding the potential approval of a physical Bitcoin ETF within 2023.

Explore how the SEC's legal defeats may have set the stage for this monumental financial development, and what it could mean for investors and the crypto industry at large.

Predicting a 2023 Approval for a Physical Bitcoin ETF

Michael Novogratz, founder and CEO of Galaxy Digital, a leading American cryptocurrency asset management company, stated in a CNBC interview on October 18, 2023, that he believes a physical Bitcoin ETF will be approved within the year.

Galaxy Digital has partnered with Invesco to apply for a Bitcoin ETF, and Novogratz predicts this application will gain approval by the end of the year.

Novogratz emphasized a crucial point: the U.S. Securities and Exchange Commission (SEC) has suffered a legal defeat.

Specifically, the SEC lost a case concerning Grayscale's conversion to a physical Bitcoin ETF.

Novogratz suggests that this puts the SEC at a disadvantage.

While Novogratz couldn't discuss specifics about ongoing discussions concerning the Bitcoin ETF application, he did note, "Judging from conversations with others, dialogues with the SEC seem to be moving in the right direction."

Market Reactions and Psychological Shifts in the Crypto Industry

Novogratz also commented on the cryptocurrency price surge triggered by false reports earlier this month, stating that the market will rise if there is positive news. Furthermore, he mentioned,

"The SEC is no longer talking about the mechanisms or importance of Bitcoin; it is now recognized simply as a macro asset," signifying a major psychological shift.

Although a physical Bitcoin ETF has yet to be approved in the United States, many within the cryptocurrency industry predict it will happen in the "not too distant future."

There are also numerous opinions predicting approval by the first half of 2024.