SEC Approval of Spot Bitcoin ETF Is Unlikely to Be a Game Changer for Crypto Markets: JPMorgan
Such ETFs have existed for some time in Canada and Europe, but have failed to attract large investor interest, the report said.

Any U.S. Securities and Exchange Commission (SEC) approval of a spot bitcoin exchange-traded fund (ETF) will not be a game changer for crypto markets for a number of reasons, JPMorgan (JPM) said in a research report Thursday.
While the SEC has yet to approve such an ETF – despite receiving numerous applications – there is now more optimism the regulator will approve one because some of the previous concerns are assumed in recent filings, JPMorgan said.
“Spot bitcoin ETFs [have] existed for some time outside the U.S., in Canada and Europe, but have failed to attract large investor interest,” analysts led by Nikolaos Panigirtzoglou wrote.
A unit of BlackRock filed paperwork last month for the , prompting other asset managers such as and to apply or reapply as well.
“Bitcoin funds overall, including futures based and physically backed funds, have attracted little investor interest since Q2 2021, also failing to benefit from investor outflows from gold ETFs over the past year or so,” the report said.
Physical backed bitcoin ETFs offer some advantages over futures-based funds, but these are rather marginal, the note said. Spot ETFs offer a more direct and secure way to gain exposure to bitcoin, removing some of the complexities around direct custody and transfer of BTC and the basis risk associated with futures-based products.
“Spot ETFs are more likely than futures based ETFs to reflect real time supply and demand and their approval in the U.S. would bring more liquidity and enhance price transparency in spot bitcoin markets,” the report added.
The introduction of spot bitcoin ETFs could lead to a migration of trading activity and liquidity away from U.S. bitcoin futures markets, “to the extent spot bitcoin ETFs replace futures-based bitcoin ETFs,” the bank said.
Edited by Sheldon Reback.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
HYPE Surpasses TRX in Fee Generation; Questions Arise About Long-Term Dominance

INIT is live! Bullish or bearish? Join to share 3,432 INIT!

XRP Network Explodes with 67% Growth—Here’s What It Means for the Price

VIPBitget VIP Weekly Research Insights
In 2025, the stablecoin market shows strong signs of growth. Research indicates that the market cap of USD-pegged stablecoins has surged 46% year-over-year, with total trading volume reaching $27.6 trillion, surpassing the combined volume of Visa and Mastercard transactions in 2024. The average circulating supply is also up 28% from the previous year, reflecting sustained market demand. Once used primarily for crypto trading and DeFi collateral, stablecoins are now expanding into cross-border payments and real-world asset management, reinforcing their growing importance in the global financial system. More banks and enterprises are starting to issue their own stablecoins. Standard Chartered launched an HKD-backed stablecoin, and PayPal issued PYUSD. The CEO of Bank of America has expressed interest in launching a stablecoin once regulations permit (via CNBC). Fidelity is developing its own USD stablecoin, while JPMorgan Chase and Bank of America plan to follow suit when market conditions stabilize. Meanwhile, World Liberty Financial (backed by the Trump family) has introduced USD1, backed by assets such as government bonds and cash.

Trending news
MoreCrypto prices
More








