- This opinion was voiced by analyst Eric Balciunas.
- The end result is tied to the outcome of Grayscale’s lawsuit against the SEC.
- After all, the commission will try to “save face” and introduce a traditional player to the market
Bloomberg Senior ETF Analyst Eric Balciunas believes BlackRock has a 50% chance of getting SEC approval. So he commented on a recent review by his colleague Elliott Stein on the subject of the Grayscale lawsuit.
Recently, Senior Litigation Analyst at Bloomberg Intelligence Stein wrote that Grayscale has a 70% chance of winning its case against the SEC and setting up its bitcoin ETF.
According to Balciunas, in this case, the SEC will have to “save face” and allow the launch of an ETF from a “reliable adult” company TradFi. That is, BlackRock will become a counterbalance to Grayscale.
Bloomberg expects a court decision on Grayscale will be made by August. If the crypto company is the winner, it will be able to convert its Bitcoin Trust (GBTC) into a bitcoin ETF.
But the timing of the possible approval of BlackRock is still vague. Many analysts have said the investment giant has priority over other candidates who have submitted similar applications. But yesterday, the ARK Invest fund announced that they are the first in line for the approval of the bitcoin ETF. They submitted their first application back in 2022, after which it was rejected. Now Katy Wood’s company has filed a second application and is waiting for a response from the regulator.