RBI, Sebi wary as US embraces Bitcoin ETF

RBI guv said emerging markets should stay away from cryptocurrencies

- Shouvik Das

In a landmark development for the cryptocurrency industry, the US Securities and Exchange Commission (SEC) has greenlit the establishment of Bitcoin exchange-traded funds (ETFs) by investment firms, signalling a potential revival for the world’s largest cryptocurrency token by market capitalization. 

This decision allows 11 investment firms, including BlackRock, Fidelity, and Franklin Templeton to list Bitcoin-based ETFs on major US exchanges, including Nasdaq and the New York Stock Exchange, as early as Thursday.

This move is expected to breathe new life into Bitcoin and the wider crypto industry, which has been reeling from declining token prices, failed projects, and the collapse of exchanges since its peak in November 2021. 

Following its all-time high of nearly $69,000 in November 2021, Bitcoin experienced a series of downturns, dropping to around $16,000 within a year. Unlike popular expectations though, Bitcoin prices did not surge upon the announcement. Eight hours since the SEC announcement, Bitcoin traded at around $46,300, down $1,000 down from its recent high.