Ric Edelman, the founder of Edelman Financial Services, has reaffirmed his belief that a Bitcoin exchange-traded fund (ETF) is inevitable.
He made the comments on Feb. 11 while speaking on CNBC’s “ETF Edge” at the Inside ETFs Conference in Hollywood, Florida.
Several Bitcoin ETF applications have been rejected by the U.S. Securities and Exchanges Commission (SEC) in the past citing several reasons for doing so.
Bitcoin ETF Is Inevitable
Edelman believes that the approval of a Bitcoin ETF is only a matter of when it will happen and not a question of “if.”
“It’s virtually certain. The only question is when,” said Edelman.
He was in SEC’s corner when he said that the regulatory agency needs the industry to overcome a number of challenges before a Bitcoin ETF can be approved.
Edelman expressed his confidence that the industry will overcome these obstacles and leave the SEC with no choice but approve a crypto ETF.
“Eventually we will see a bitcoin ETF, and it’s at that stage that I will be much more comfortable recommending that ordinary investors participate.”
The SEC has had a number of issues with the cryptocurrency market and how it should regulate it.
The regulatory agency needs the market to sort out custodial solution and market manipulation issues before the approval of a Bitcoin ETF.
The interest and investments from several major financial firms such as Fidelity, Kingdom Trust, and more are a sign that a Bitcoin ETF is not far away.
“I’m confident that in very short order VanEck or Bitwise will satisfy the custody concern to the SEC.”
Even a SEC Commissioner Thinks That a Bitcoin ETF Is Coming
It is natural for the SEC to reject Bitcoin ETF applications as it has done in the past because this a young market still trying to find its feet.
However, at some point, a Bitcoin ETF will have to be approved and one of the commissioners with the SEC acknowledges this.
In a leaked interview with the Congressional Daily, Robert J. Jackson Jr., the only Democratic commissioner in the agency said that things will change despite what has happened in the past.
“Eventually, do I think someone will satisfy the standards we’ve laid out there? I hope so, yes, and I think so,” said the Commissioner.
While this is not an indication that a crypto ETF will be approved in the short term, it marks a new era in which the agency recognizes the crypto space as an evolving industry mature enough to have an ETF.
Jay Clayton, the Chairman of the SEC, stated in November last year that he can only be comfortable with a Bitcoin ETF if there are better custody solutions for digital assets and market surveillance.