Cathie Wooden: Bitcoin ETF Approval Unlikely Till Market Cap Rises to About $2T

 Cathie Wooden: Bitcoin ETF Approval Unlikely Till Market Cap Rises to About $2T

Ark Funding Administration CEO Cathie Wooden stated she doubts U.S. regulators will green-light a bitcoin exchange-traded fund earlier than the unique cryptocurrency’s market cap hits $2 trillion.

“The flood of demand must be happy so it’s going to need to get effectively over a trillion {dollars} – $2 trillion, I believe, earlier than the [U.S Securities and Exchange Commission] will really feel comfy about” a bitcoin ETF, Wooden stated at Tuesday’s ETF Traits Massive Concepts occasion.

Bitcoin’s market capitalization hovered a tick underneath $600 billion at press time Tuesday.

Wooden was bullish on bitcoin’s prospects underneath Gary Gensler, the previous CFTC commissioner and MIT digital forex professor who has been nominated to steer the SEC by President Joe Biden. Wooden known as Gensler “very professional bitcoin” and praised the SEC’s crypto savvy management.

Gensler, who would undoubtedly turn into essentially the most crypto educated SEC chair if confirmed, has nonetheless described himself as “a bit of bit heart minimalist on Bitcoin.” He’s extra of a “heart maximalist” about blockchain applied sciences and sensible contracts, nevertheless.

Wooden’s Tuesday presentation additionally featured some daring projections about bitcoin’s worth potential ought to institutional and company adoption traits proceed. Citing MicroStrategy’s bitcoin-first treasury coverage, Wooden stated that if each S&P 500 firm invested 1% of their belongings in bitcoin the worth would enhance by $40,000.

“Institutional allocations between 2.5% and 6.5% may influence bitcoin’s worth by $200,000 to $500,000,” learn one slide deck.

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