Michael Saylor, CEO of MicroStrategy, participated in a Twitter Spaces last week together with officials from the management firm Hashdex and the ETF Think Tank. Saylor mentioned the demand for Bitcoin from financial institutions and he also said that an exchange-traded fund (ETF) pegged to the retail price of Bitcoin may cause a tenfold increase in its value.
Regulations Need to Come to a Certain Point for the SEC to Accept Bitcoin ETFs
Currently, US investors may only buy exchange-traded funds (ETFs) that follow the price of Bitcoin futures contracts . Despite attempts by domestic managers over the years a retail-linked Bitcoin exchange-traded fund (ETF) has not yet been launched in the United States .
According to Michael Saylor, Bitcoin’s arrival on a US-based regulated exchange is crucial to the approval of an ETF tied to the retail price of BTC by the US Securities and Exchange Commission (SEC) . Another possibility is that a cryptocurrency exchange in the United States gets given the green light to begin trading stocks and bonds.
The CEO of Hashdex Marcelo Sampaio weighs in on the Brazilian manager’s plight. He said “Without modifying existing legislation we were able to establish a Bitcoin ETF .” Sampaio says “What we accomplished in Brazil was a thesis and now we are coming to the United States with the same purpose.” Michael Saylor was asked for his opinion on the approval of a Bitcoin ETF pegged to the retail price by Hashdex’s CEO . Saylor predicts a tenfold increase in Bitcoin’s value after regulatory confusion in the cryptocurrency business is resolved.
Businesses Are Interested in Lightning Network
MicroStrategy World 2023 took place from May 1st to 4th and it included a Bitcoin and Lightning Network discussion room . Institutional discussions about the Lightning Network according to Saylor were “a big thing.”
Lightning Network’s popularity however, has nothing to do with the current spike in Bitcoin network fees . Saylor notes that businesses have not shown much curiosity in the nature of Ordinals and Inscriptions .
“Companies who have been regular clients of ours for the last two decades were the intended audience for our conference . This included major financial institutions, government organizations, airlines, manufacturers of fast-moving consumer goods and pharmaceutical producers .” Saylor explains that the firms’ inquiries concerned Bitcoin integration and Lightning Network security for financial operations .