Some traders are taking this SEC tweet as a sign {that a} bitcoin futures ETF may get approval imminently


The Securities and Exchange Commission’s investor education bureau caused a stir among Bitcoin fans on Thursday after it posted a tweet warning investors to weigh the risks and benefits of investing in a fund using Bitcoin futures contracts .

In its tweet, the office added a link to a June bulletin in which it wrote that “Investors should understand that bitcoin, including exposure to the bitcoin futures market, is a highly speculative investment”.

Although the tweet didn’t specify exchange-traded funds, some crypto enthusiasts interpret it as an indication that the SEC would approve a bitcoin-backed futures ETF that will invest in bitcoin-based futures contracts instead of the crypto itself.

Some analysts believe that regulators will approve at least one Bitcoin futures ETF as soon as next week after SEC chairman Gary Gensler recently reiterated his support for such funds. The SEC has not yet approved any Bitcoin-backed ETFs or those with Bitcoin derivatives.

Speculation was fueled Thursday night after Bloomberg News reported that the SEC is unlikely to block a Bitcoin futures ETF, subject to a last-minute reversal that would pave the way for trading to start as early as next week.

The SEC would either approve, reject, or delay proposals filed by ProShares TQQQ, + 5.52%,
Valkyrie Investments, Invesco and VanEck HYGB, + 0.05% over the next two weeks.

Bitcoin BTCUSD, + 3.11%, recently traded at $ 57,482, up 1% over the past 24 hours.

See: Crypto is ‘not a fad’, says Morgan Stanley CEO Gorman, ‘it won’t go away’

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