Bitwise CIO: SEC listing rules will promote the development of crypto ETFs, but cannot guarantee capital inflow

ChainCatcher news, according to Cointelegraph, Bitwise Chief Investment Officer Matt Hougan warned that the U.S. Securities and Exchange Commission (SEC) simplifying the approval process for cryptocurrency ETPs may lead to a surge of new products, but this does not guarantee their success.

Hougan stated that general listing standards could be introduced as early as October, which may welcome a large number of new cryptocurrency ETPs, and the history of ETF development supports this. However, he cautioned against equating the launch of cryptocurrency ETFs with a resurgence in cryptocurrency popularity. Hougan indicated that the existence of cryptocurrency ETPs does not mean a significant influx of funds; investors need to have a fundamental interest in the underlying assets, and ETPs based on assets like Bitcoin Cash may struggle to attract capital. However, he emphasized that launching ETFs can prepare products for a price increase, as they make it easier for traditional investors to allocate to cryptocurrencies.