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Author: Kevin Helms, Bitcoin.com; Compiled by: Songxue, Bitcoin Vision
Cathie Wood, CEO of Ark Investment Management, shared her thoughts on the possible approval of the SEC’s spot Bitcoin Exchange-traded Fund (ETF) in an interview with CNBC on Monday.Her company’s joint proposal with 21shares will be decided on Wednesday, the first deadline for this year’s spot Bitcoin ETF application.
Regarding whether institutional investors would be more willing to invest in Bitcoin with the expected approval of the spot Bitcoin ETF, Ark executives said:
We think that if we and others get SEC approval, this will give the institution a green light.We’ve talked to quite a few of them and now that the SEC is effectively paving the way, they’re even more interested in that.
When asked whether her company’s spot Bitcoin ETF proposal would be approved by the SEC, she replied:“We do think that the probability of Bitcoin ETF being approved this week is very high.As we have always said, in fact, after denying it, denying it many times, the SEC began to ask questions – very good questions, very detailed questions, very technical questions – so, I think they haveMost of the questions that need to be answered are asked, and we may be part of the process.”
Wood also believes that the approval of the spot Bitcoin ETF may not be a sell-off news event as some people predict.“I think a lot of people are looking forward to ‘news selling’ and we probably don’t,” she said. “Once you hear enough information, their positions have already happened. Who knows, this isA very short-term thing.” The CEO of Ark Investment continued:
What we know is that over our five-year investment period, we believe that funds flowing into this new asset class, especially the flow of institutional funds… will be quite substantial, and institutions do not need to make large allocations to Bitcoin.Drive Bitcoin’s growth.The thing that becomes a scarce asset is much higher.
The CEO of Ark Invest went on to explain in detail why she believes the price of Bitcoin will “continue to go higher.”First, she explained that Bitcoin is digital gold, pointing out that gold is a $12 trillion asset.“I think Bitcoin could be as high as $800 billion right now. So we do think some replacement is happening,” she explained.
“If the allocation ratio is as low as 2.5% to 5%, then institutional money flows are what we think will happen in the end,” she added. “You’ll see 0.5%, then 1%. You’ll find that this could be bitsThe biggest reason for the rise in the currency.” Wood concluded:
Because you know,We already have about 19.5 million bitcoins.About 15 million of these are held by holders for a long time.Their Bitcoin has not been moved for more than 155 days.And we know that the total number of Bitcoin will always be only 21 million.So, this is indeedIt is an asset that has become scarce.
