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Matrixport Analyst Predicts Rise in Bitcoin ETFs After $4.3 Billion Binance Deal

Investors appear to have remained concerned amid Binance CEO Changpeng Zhao’s $50 million lawsuit settlement and Binance’s $4.3 billion settlement that sent ripples through the cryptocurrency world. In contrast to recent market sentiment, Matrixport analyst Markus Thielen believes this result is a boon for Binance and predicts its continued dominance over the next 2-3 years.

Additionally, Thielen foresees an increase in supported exchanges and sees this deal as a catalyst for the long-awaited approval of a spot Bitcoin ETF in the United States.

Binance deal will raise expectations for Bitcoin ETFs

Markus Thielen of Matrixport emphasizes the regulatory impact of the Binance deal and claims that the cleanup of the industry by US agencies positions Bitcoin as a safe haven asset. Meanwhile, the expected increase in supported exchanges, along with increased scrutiny, sets the stage for the long-awaited approval of a Bitcoin spot ETF.

Notably, Thielen states in a recent interview with CNBC that the deal dramatically increases the likelihood of a Bitcoin spot ETF next year, marking a fundamental shift from unregulated to regulated exchanges in the crypto landscape.

As the industry adapts to a more regulated environment, institutions are expected to take center stage in 2024, with Bitcoin potentially becoming a focal point in investors’ portfolios. Meanwhile, the future, marked by regulatory hurdles and institutional adoption, promises transformative developments in the crypto space.

Also read: Sam Altman returns to OpenAI, what happens now with Microsoft?

Legal turmoil on Binance

According to recent reports, Binance CEO CZ agreed to pay a fine of $50 million, while Binance faces a payment of $4.3 billion. On the contrary, Matrixport analyst Markus Thielen sees this as a favorable outcome, suggesting that with CZ’s resignation and the smaller-than-feared fine of around $10 billion. Furthermore, he predicts that Binance is poised to maintain its status as one of the top three cryptocurrency exchanges in the near future.

The settlement, which addresses money laundering violations and other charges totaling $898 million, includes agreements with FinCEN, OFAC and CFTC, of which $1.8 billion will go to these agencies. Although CZ is banned from operating a business for three years, the possibility of a “clean” return to Binance remains open.



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Fidelity Canada Launches Cash Bitcoin ETFs and Mutual Funds

Fidelity Canada successfully launched its Bitcoin exchange-traded fund (ETF) as well as the Fidelity Advantage Bitcoin ETF (mutual fund) on December 2, becoming the first of them available in the country. The funds will be listed on the Toronto Stock Exchange (TSX) under the codes FBTC for the Canadian dollar and FBTC.U for the US dollar version.

Fidelity Canada Becomes Largest Asset Manager to Launch Bitcoin ETF

Having had enough of the US Securities and Exchange Commission (SEC) and the agency’s blatant refusal to approve a prominent Bitcoin ETF, Fidelity Investment Inc. migrated to Canada to pursue its ETF plans, and ultimately the business was successful.

In a statement released by the company on Thursday, Fidelity Canada’s senior vice president of products and marketing, Kelly Creelman, expressed the company’s satisfaction even though the Bitcoin ETFs and ETFs began trading on the same day.

Meanwhile, this official launch comes several months after Fidelity officials had a closed-door meeting with the United States Securities and Exchange Commission (SEC), seeking the green light to launch a similar product in the States. -United. However, to date, the SEC has not approved or, as has been seen in some cases, categorically rejected crypto ETFs. The reasons of the SEC mean that these products do not comply with the strict rules of mutual funds.

Meanwhile, also in November, Fidelity Canada was approved by regulators across the country to offer an institutional platform for bitcoin trading and custody.

Now, with over $ 4.2 trillion in assets managed by AUM, Fidelity Investments has perhaps become the largest asset manager to launch a Bitcoin exchange-traded fund (ETF).