Key Takeaways
- Franklin Templeton enters the competition for a Bitcoin ETF, following other major players like BlackRock, Wisdom Tree, and Fidelity.
- Regulatory hurdles from the SEC delay the approval of Bitcoin ETFs in the United States.
- The crypto community watches closely, speculating on potential approval and market reactions.
In the race to get a Bitcoin ETF, another prominent entity has come to the surface. Franklin Templeton filed for a Bitcoin ETF on 12 September 2023. Bitcoin ETF, or Exchange-Traded Fund, is a crucial financial instrument that allows investors to gain exposure to Bitcoin without having to directly hold or manage the cryptocurrency.
These ETFs are listed on traditional stock exchanges and are designated to track the price performance of Bitcoin. Apart from Franklin Templeton, other major players in the market, like BlackRock, Wisdom Tree, and Fidelity, have also expressed interest in Bitcoin ETFs.
The Hurdles
So far, the SEC is facing regulatory hurdles in approving ETFs, and the pursuit is ongoing. Franklin Templeton, in their proposal, has included custodian Coinbase, and the exchange intends to trade on Cboe BZX Exchange. With a traditional asset management giant like Franklin Templeton entering the crypto ETF space, this development is indeed one of a kind.
As the SEC continues to delay approval of Bitcoin ETFs in the United States, the development and pursuit continue. According to Santiment, a cryptocurrency analytics platform, the fear of missing out and over-reaction in the crypto community is not unexpected.
According to crypto analyst Crypto Rover, BlackRock is the major player and a potential pioneer in Spot Bitcoin ETF approval. However, only time will tell which company will succeed.
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