Bitcoin Spot ETF Proposals Get Green Signal from US SEC after X Hacking Drama

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  • The U. S. Securities and Exchange Commission officially approved the first US-listed exchange-traded funds to track Bitcoin.
  • The US SEC has approved eleven applications from top-rated organizations like BlackRock (BLK.N), Ark Investments/21Shares (ABTC.S), Fidelity, Invesco (IVZ.N), and VanEck.
  • The US SEC’s X account was hacked and released a fake tweet affirming the approval of the Bitcoin Spot ETF proposal.

The 2024 crypto market has geared up for unprecedented growth of the industry. In the last quarter of 2023, the industry experienced an unexpected Bitcoin surge, raising its value from $16k to $40k and affecting the entire industry. With this wave of promise, plenty of traders, investors, and organizations had their eyes set on the entire industry, and a make-or-break point soon emerged for the industry. 

The entire crypto industry is affected by its supply and demand. The higher the demand for bitcoin, the higher its value. As such, several events have had a significant impact on the entire industry. For instance, the recently approached Bitcoin Depositary Receipts have opened up new gateways for investors to enter the market. The anticipated Bitcoin Halving, expected to occur in mid-April, has played a significant role in increasing the value of the original crypto coins. However, one particular event will change the trajectory of the entire crypt franchise: the Bitcoin Spot ETF Proposal.

In recent developments, the entire industry was on its edge after the US SEC verdict based on speculations hinted at revolutionary change. According to the US SEC, the Bitcoin Spot ETF proposal is officially approved.

US SEC’s X account hacked.

On Wednesday 10th, the entire crypto industry was on edge waiting for the Bitcoin Spot ETF Proposal verdict. For those unaware, Bitcoin ETFs are exchange-traded funds that track the value of Bitcoin. This new concept would allow investors, traders, and organizations to enter the crypto sphere but trade on traditional market exchanges, alleviating the complexities surrounding the custodial crypto exchange.

Furthermore, it would essentially broaden the availability of Bitcoin extensively while alleviating the risk of winning Bitcin directly. Investors would no longer worry about setting up crypto wallets and accounts with exchanges. These new proposals came at a crucial point, as most crypto-based organizations are prone to consistent cyber-attacks and hacks. In addition, the Bitcoin Spot ETF would present an added form of protection for those new to the crypto market, further building the trust we lost from the FTX fiasco.

Also, Read Bitcoin Surge Ignites Remarkable Rebound in NFT Sales for December 2023.

Ordinarily, ETFs are listed on tightly regulated stock exchanges and thus are accessible through retail investors’ existing brokerage accounts, which are closely monitored. Bitcoin Spot ETF would essentially benefit from the same perks.

This concept presents a game changer for the entire industry, potentially doubling the industry’s valuation in time. Thus, it came as no surprise when the US SEC’s X account was hacked and released a fake tweet affirming the approval of the Bitcoin Spot ETF proposal.

The US SEC’s X account was hacked prior the verdict releasing a fake announcements on the approval of Bitcoin Spot ETFs.[Photo.Interesting-Engineering]
The anticipation of his announcement caused an instantaneous Bitcoin surge, causing its value to surpass its $47k mark and almost reach $48,000.

Unfortunately, the weight of the fake news caused a prompt retraction from the US SEC. The regulatory body stated that its X account was compromised and did not approve the listing and trading of Bitcoin Spot ETFs.

This announcement overturned the Bitcoin surge, causing many to opt out of the market. After the clarification, Bitcoin’s value declined from $47,000, reaching $45,000.

Fortunately, the fiasco surrounding the fake news did not affect other altcoins. Instead, Ethereum has recently showcased a positive trajectory, with its value steadily improving.

US SEC Officially approved Bitcoin Spot ETF Proposals.

The US SEC Twitter hack might have rattled the industry, but its aftereffects were spot on. Later in the day, the U. S. Securities and Exchange Commission officially approved the first US-listed exchange-traded funds to track Bitcoin.

According to the official report, the US SEC has approved eleven applications from top-rated organizations like BlackRock (BLK.N), Ark Investments/21Shares (ABTC.S), Fidelity, Invesco (IVZ.N), and VanEck. Many officials were initiated against this verdict as Bitcoin’s value is highly volatile, given the records.

The industry is at a buzz, with Bitcoin currently valued at $45,976.80 at the time of writing. The ETFs open up the gates of the crypto sphere to billion-dollar franchises and will significantly affect its valuation in time. 

Andrew Bond, managing director and senior fintech analyst at Rosenblatt Securities, said, “It’s a huge positive for the institutionalization of Bitcoin as an asset class.”

Standard Chartered analysts have also stated that the ETFs could draw $50 billion to $100 billion within the year, while other analysts expect an inflow of $55 billion over five years. As per CoinMarketCap, the live market capitalization of Bitcoins is $913 billion. On the other hand, the net assets of US ETFs stand at $6.5 trillion.

Also, Read Matrixport Predicts US SEC’s Rejection of Bitcoin Spot ETF Proposals.

BlackRock and Ark/21Shares have slashed their proposed fees in the new filings. Some have placed their fees range from 0.2% to 1.5%, while other firms are offering to waive fees entirely for a certain period. The success rate of this new model is achievable, but it depends on the fees and liquidity. Some analysts have stated that short-term speculators should factor in liquidity when looking to buy in or out of the ETFs.

 Steven McClurg, chief investment officer at Valkyrie, said, “It is pretty unprecedented, so we’ll see how it works. I’ve never been in a situation where 10 of the same ETF was launched on the same day.

The Bitcoins Spot ETFs are a game changer for the industry. If done correctly, it could redefine the future of Web3.


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Ken Mutuku
Ken Mutuku
I am an enthusiastic writer who believes that facts, knowledge and opinions can be expressed vividly with just a few words. I think that all forms of writing achieve this; hence I have a wide area of expertise and interest, such as cryptocurrency, psychology and the human mind.