Spot Bitcoin ETF Debut Forecasted by Hashdex in 2024

As one of thirteen asset managers competing for a spot Bitcoin exchange-traded fund, Hashdex anticipates the second quarter of 2024 to see the debut of the first spot Bitcoin ETF in the United States, followed by a spot Ether ETF.

Hashdex’s U.S. and Europe head of product, Dramane Meite, stated in a 2024 outlook report published on December 4th, “The precise timing of a spot Bitcoin ETF in the U.S. remains uncertain, but in 2023, the discourse surrounding this product shifted from an “if” to a “when” regard.”

“We believe U.S. investors will have access to a spot Bitcoin ETF by the second quarter of the new year and that a spot Ether ETF is likely to follow.”

Prior to the U.S. Securities and Exchange Commission (SEC), thirteen asset managers had submitted applications for spot Bitcoin ETFs, including Hashdex. Additionally, it has presented the regulator with a novel Ether ETF that incorporates both spot and futures contracts.

Seyffart has previously stated that this only pertains to the 19b-4 applications and that the Form S-1 must also be approved prior to the launch of an ETF. Balchunas and James Seyffart, two analysts at Bloomberg ETFs, have estimated a 90% chance that spot Bitcoin ETFs will be approved in the days preceding January 10, 2024.

Weeks or even months may elapse between approval and commencement, Seyffart stated in November. Corporations use Form S-1 to inform the SEC of proposed rule changes, which needs the Division of Corporation Finance’s approval.

“Legacy asset managers with thousands of employees and reputable brands” would offer their clients a cryptocurrency product for the first time, according to Meite in the report by Hashdex regarding spot Bitcoin and Ether ETFs.

He was of the opinion that this would produce spot crypto exchange-traded products available on a global scale, thereby granting access to a $50 trillion market that was larger than the combined markets of Europe, Canada, and Brazil.

“Because of their name recognition and lack of differentiation among incumbents,” Meite predicted that the majority of interest in single-asset ETFs would be directed towards Bitcoin and Ether.