Michael Saylor said the SEC’s approval of a spot Ethereum ETF benefits Bitcoin by increasing institutional investment.
The Chairman of MicroStrategy, Michael Saylor, has stated that the approval of a spot Ethereum ETF by the United States Securities and Exchange Commission (SEC) is beneficial for Bitcoin. According to Saylor, as a result of this permission, the cryptocurrency market will see an increase in institutional investors.
During an interview with Beagle, the host of “Bitcoin gamblers anonymous” on X, Saylor discussed his opinions about the digital currency. According to Bitcoin Maxi, the spot Ethereum ETF approval will provide investors with increased trust as well as options from which to select what they want.
Saylor claims that the clearance will “legitimize the crypto asset class,” which exchange-traded funds (ETFs) specifically support for Bitcoin and Ethereum. This move officially acknowledges cryptocurrency as a class of asset, with Bitcoin leading the way.
Saylor’s latest stance, which marks a significant departure from his previous position on any digital currency other than Bitcoin, is particularly noteworthy. In response to Saylor’s unsuccessful prediction against the approval of spot Ethereum ETFs, a large number of individuals on X trolled him.
Saylor’s classification of Ethereum as a security, which occurred just a few days before the SEC’s judgment, was the source of the fury within the internet community. Saylor noted that the acceptance of Ethereum ETF will boost Bitcoin’s status within the cryptocurrency market.
This is something that some people believe to be an “ego check.””This is beneficial for Bitcoin.” When we have the backing of the entire cryptocurrency business, we gain a lot more power. Ethereum, which has a large user base, offers an additional degree of protection for Bitcoin.In addition to this, he suggested that standard investors might start to see cryptocurrency as a genuine asset class.
As a result, it has the potential to fuel an allocation of between five and ten percent of their portfolios to cryptocurrency. A large portion of this, perhaps between sixty and seventy percent, will go to Bitcoin. The current market dynamics serve as the foundation for Michael Saylor’s estimates regarding asset allocation for the company.
Lately, the spot Bitcoin exchange-traded fund (ETF) market has witnessed significant investor activity. This activity has been characterized by regular net inflows and outstanding performances from large ETFs.
Saylor continued by saying, “I believe that this will serve as a strong marketing boost and accelerate the adoption of the technology by institutions.” “We need to rethink our models in order to align them with this changing landscape,” the speaker said. “This is a new era.”