Digital asset company Galaxy Digital’s founder, Mike Novogratz, stated that 2024 will stand out with the institutional adoption of cryptocurrencies. He also mentioned that this development will occur after the pending approval process of Bitcoin exchange-traded funds (ETFs). In Galaxy Digital’s third-quarter earnings presentation on November 9th, Novogratz expressed the belief of the company officials that approving several ETF applications is now a matter of time.
ETF Comment from a Prominent Figure
The famous fund manager submitted spot Bitcoin and Ethereum ETF applications to the U.S. Securities and Exchange Commission (SEC) with the partnership agreement made with Invesco in the third quarter of 2023. Investors’ sensitivity regarding this positive news flow increased in November 2023.
During this process, leading ETF research analysts predict that the SEC will approve 12 major Bitcoin spot ETF applications by January 2024. Novogratz stated in the third-quarter earnings presentation that 2024 will be the year of full institutional adoption and this process will begin primarily with the approval of Bitcoin ETF:
“As institutions become more comfortable, if the government gives the stamp of approval that Bitcoin is an investment vehicle, you will see the rest of the corporate world start to pay attention to other significant developments. And thus, money will flow into this industry.”
Novogratz’s Statements Drew Attention
Novogratz also added that the sector can reach its peak as investments in tokenization and Web3 wallets increase in 2025. The CEO of Galaxy Digital also mentioned the necessity of creating a central connection in the cryptocurrency ecosystem with dollar-backed stablecoins as an important focal point for the U.S. environment:
“It would be good to have a dollar-backed stablecoin that reflects our values and is widely accepted worldwide.”
According to Novogratz, Bitcoin ETF products will bring institutional confidence and significant funding to the cryptocurrency sector.
“These ETF products provide breathing space for all of us and breathe life into the system. This situation also brings capital that enables the development of other things. But if you look at the long-term crypto plan, you will see that it has reached its goal.”
