Gabor Gurbacs, the director of digital assets strategy at VanEck, believes that a Bitcoin ETF could generate billions of dollars in investments, so the SEC (Securities and Exchange Commission) should treat any pending proposals as an avenue to regulate the digital asset market. Gabor Gurbacs is a renowned crypto exchange-trade fund advocate.
Gurbacs, made this claim concerning Bitcoin ETF during an interview with CNBC. His comments regarding the cryptocurrency space comes in the wake of persistent requests by VanEck’s to (the United States apex regulatory commission) the SEC to approve their proposal for a Bitcoin ETF. The SEC has so far rejected every request made by VanEck. In total the regulatory body has rejected nine proposals, citing concerns about market surveillance and manipulation in the crypto space as reasons for their decision.
VanEck has repeatedly been in the news lately for meticulously improving its ETF application to handle the concerns raised by the SEC. In times when the crypto industry sometimes works in a grey area, VanEck plans to launch a crypto ETF that will be under a conventional regulatory oversight. If the Securities and Exchange Commission approves VanEck’s ETF application, then it is safe to say that this could pave way for regulators and industry companies to comprehend how crypto assets fit into the federal regulatory oversight.
The SEC’s Concerns and VanEck’s Response
During the interview, Gurbacs said VanEck’s bitcoin product is designed to safeguard investor interests while also preserving the overall advantages associated with digital asset trading. According to Gurbacs:
“What makes our ETF stand out is that it is a physical bitcoin ETF. Hence, it is stays true to the BTC you own in underlying. It is fully insured so if investors have no need to worry about theft, and hacks or losses. Insurance covers it all.”
Gurbacs highlighted how his company would protect investors from price manipulation. According to him:
“The pricing, used for Bitcoin (BTC) is generated from our indexing subsidiary. The indexing subsidiary is a regulated entity that provides the first financial standards and regulated indices. Our ETF is institutional-oriented, hence, we have a capital of 25 bitcoins for every basket.” Bitcoin (BTC) Price Today – BTC / USD
How the Approval Will Impact Market Prediction
Gurbacs interview on CNBC also saw a particular schedule dedicated to exploring the impact of an approval of VanEck’s bitcoin ETF. In fact the immediate impact on Bitcoin (BTC) and the crypto market as a whole was analyzed.
Gurbacs went on to predict that a bitcoin ETF could have the effects of a traditional gold ETF could leave on the space. Institutional investors, who don’t want to take any risks by initiating investments in bitcoin via a less secure or safe spot market, could prefer ETFs as their go-to option. Hence, the first day of a BTC ETF launch could attract an impressive $1 billion in investments.
Gurbacs speaking for his company added that VanEck’s gold ETFs are in a few billion USD range already. There are gold ETFs worth $10 billion. He said he would not be surprised if the result of a bitcoin ETF is an influx of over billion dollars in investments.