Co-founder and former CEO of MicroStrategy, Michael Saylor, expressed support for the approval of Spot ETF Ethereum. The crypto billionaire reiterated that the introduction of Ethereum ETFs was “good” for Bitcoin and the broader crypto market.
Spot Ethereum ETF Approval Is “Better” for Bitcoin
In a recent interview with Bitcoin Gamblers Anonymous host Beagle, Saylor turn on the light on his views on the United States Securities and Exchange (SEC) approval of Ethereum Spot ETFs and how this investment instrument would impact the crypto market.
The founder of MicroStrategy revealed that the SEC’s acceptance of the Spot Ethereum ETF was an important development for Bitcoin, as it improves the political power of the pioneer cryptocurrency. He noted that an Ethereum Spot ETF would serve as a “line of defense” for Bitcoin, emphasizing Ethereum’s vast user base and the broad support it enjoys from the entire crypto industry
Saylor also indicated that Spot Ethereum ETFs could accelerate institutional adoption by fueling investor interest in cryptocurrency ETFs through diversification. This, in turn, could have a significant impact on Bitcoin price metrics, potentially growing demand and spark a rally for the cryptocurrency.
The MicroStrategy co-founder also revealed that prior to the SEC’s acceptance of Ethereum Spot ETFs, Bitcoin was considered the only asset not classified as a security, following the SEC’s decision. Approval of a Spot Bitcoin ETF on January 10. As a result, Bitcoin was reportedly presented as the only legitimate crypto asset in the industry.
However, with the SEC’s recent clearance of Ethereum Spot ETFs, Saylor expects a different outcome. He emphasized that the global crypto asset class would eventually become legitimized, backed by the world’s two largest cryptocurrencies, Bitcoin and Ethereum.
He also said that this legitimization would enable broader acceptance of other aspects of the crypto industry, such as decentralized finance (DeFi), NFTs, digital commerce and others, thus facilitating widespread acceptance, with Bitcoin to spearhead this change as a leader in the crypto asset class.
Bitcoin Price After SEC Approval of Ethereum Spot ETF
On Thursday, May 23, the US SEC approved a critical rule change that would allow ETFs to hold Ethereum. This approval came after months of deliberations and constant delays of the regulatory agency.
Given the SEC Implied Classification of Ethereum as a Securitymany crypto industry analysts, including Bloomberg ETF analysts James Seyffart and Eric Balchunas, had low expectations for regulator approval of Ethereum Spot ETFs.
Therefore, the crypto community was doubly shocked when the US SEC accepted Ethereum Spot ETFs. This approval had a significant impact on Bitcoin price dynamics, as the cryptocurrency declines recorded while excitement over an Ethereum Spot ETF spread throughout the crypto community.
At the time of writing, BTC is trading at $68,613, down 0.96% over the past 24 hours. Cryptocurrency daily trading volume of more than 18.6 billion dollars is up slightly by 21.11%, highlighting a slight increase in investor confidence in cryptocurrency.
Featured image created with Dall.E, chart from Tradingview.com
