Michael Saylor: Approval of Spot Ethereum ETFs Will Benefit Bitcoin
Date: 2024-05-27 Author: Henry Casey Categories: CRYPTO PAYMENTS
MicroStrategy co-founder Michael Saylor weighed in on the US Securities and Exchange Commission's (SEC) recent approval of Ethereum spot ETFs. The businessman is confident that this event will benefit Bitcoin and strengthen the entire crypto industry.
Impact on the Industry
Saylor believes that any regulatory approval of a digital asset is a positive step for the cryptocurrency market as a whole. He noted that regulatory recognition of various crypto assets promotes progress and strengthens confidence in the industry.
“Yes, I think this is good for Bitcoin. Moreover, I believe that this can bring tangible benefits to him, since we are much stronger politically with the support of the entire industry,” said Michael Saylor.
New Line of Defense
Saylor noted that Ethereum-based cryptocurrency ETFs create an additional “line of defense” for Bitcoin. He emphasized that the approval of spot Ethereum ETFs will accelerate institutional adoption and attract more investors to the industry.
Investment Distribution
Saylor acknowledged that market players will be forced to distribute their funds among several assets, which could affect the uniqueness of Bitcoin. However, he is confident that the first cryptocurrency will still remain dominant and will receive the majority of the allocated capital.
“I think mainstream investors will say, 'oh, now there's a new class of crypto assets, maybe we'll allocate 5% or 10% of funds to it.' However, Bitcoin will account for 60% or 70% of the total amount of their contribution,” the entrepreneur believes.
Change of Mind
Michael Saylor admitted that he has changed his attitude towards spot Ethereum ETFs. Previously, he did not believe in their approval from the SEC, but the situation has changed. In early May, Saylor expressed the view that the SEC would soon designate Ethereum as a security, which could stop the launch of investment products based on it. He also claimed that BNB, XRP and Cardano could fall into the securities category.
Financial Success
Let's remember that Michael Saylor recently earned $370 million by selling MicroStrategy shares. This highlights his successful management and investment strategy, including his activities in the cryptocurrency industry.
The approval of spot Ethereum ETFs, according to Michael Saylor, will not only strengthen Bitcoin, but will also contribute to the growth of the entire cryptocurrency industry. He believes that this move will create additional opportunities for institutional investors and help distribute investments in a more balanced manner, which will ultimately benefit Bitcoin and other crypto assets.
