Spot Ethereum ETF approval ‘could be better for Bitcoin’ — Michael Saylor
MicroStrategy founder Michael Saylor has changed his stance on a spot ether (ETH) exchange-traded fund (ETF), arguing that the recent approval from US regulators is only good news for Bitcoin (BTC).
“Is this good for Bitcoin or not? Yes, I think this is good for Bitcoin. In fact, I think it might be better for Bitcoin. Because we have the support of the entire cryptocurrency industry, politically, much stronger,” Saylor told Bitcoin podcaster Peter McCormack in a May 25 episode. Bitcoin did a podcast.
“The Ethereum ETF serves as another line of defense for Bitcoin,” he said, following news that the U.S. Securities and Exchange Commission (SEC) approved eight spot Ether ETFs to be listed on their respective exchanges on May 23.
Saylor reiterated that this will “accelerate institutional adoption” as previously cautious investors now recognize cryptocurrencies as a legitimate asset class. Saylor also explained that while capital will be allocated to a variety of crypto assets, Bitcoin will still receive the majority of the allocated capital as the “leader” of cryptocurrencies.
“Mainstream investors will now say there is a cryptocurrency asset class. “Maybe we will allocate 5% or 10% to the cryptocurrency asset class, but Bitcoin will be 60% or 70% of that,” he claimed.
Saylor admitted that his opinion on a spot Ether ETF has changed since he previously thought SEC approval was unlikely.
“Just two weeks ago, it seemed to the world that Bitcoin would become the only asset that Wall Street institutions would securitize and offer in physical ETFs, and that it would proliferate as the only legitimate cryptocurrency asset,” he explained.
Related: Ethereum rally stalls at $3.8K. Is the SEC ETH ETF decision already priced in?
On May 3, Cointelegraph reported that Saylor predicted that the SEC would classify ETH as a security, followed by BNB (BNB), Solana (SOL), XRP (XRP), and Cardano (ADA). It was reported that it was predicted that it would be.
“None of (these tokens) will be packaged as a spot ETF, will not be accepted by Wall Street, and will not be accepted as a crypto asset by mainstream institutional investors,” Saylor said.
Saylor’s change in tone during the podcast episode did not go unnoticed by the broader cryptocurrency community.
“Changes his mind a bit,” Bitcoin commercial litigator Joe Carlasare posted on X on May 25.
“What’s next for Saylor to buy ETH? That’s a serious 180,” added cryptocurrency analyst Ricky Bobbyy.
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