The application for Bitcoin ETF has been put forward again, and this news has once again set off waves in the market. Bitcoin ETF (Exchange Traded Fund) has always attracted much attention, and its approval or not has a profound impact on market trends. This article will explore the significance of this application from different angles, as well as the possible impact.

In the cryptocurrency market, Bitcoin has always been the focus of much attention. And the proposal of Bitcoin ETF has set off a new wave of enthusiasm in the market. Recently, another application for Bitcoin ETF has been put forward, which undoubtedly makes people full of expectations for the future of the cryptocurrency market. Let's explore the possible impact of this application together.

First of all, the approval of Bitcoin ETF will bring more opportunities for traditional investors to participate in the cryptocurrency market. Investors in traditional financial markets have always been cautious about cryptocurrencies, mainly because of the high volatility of the market and the lack of supervision and transparency. However, once Bitcoin ETF is approved, it will attract more traditional investors to enter the market and promote the development and growth of the market.

Secondly, the launch of Bitcoin ETF is expected to improve the liquidity and stability of the market. Because the cryptocurrency market is relatively fragmented and lacks the support of large transactions, the liquidity of the market has always been a problem. Once there is a Bitcoin ETF, it will inject more funds into the market, improve the overall liquidity of the market, reduce the volatility of the market, and make the market more stable.

In addition, the approval of Bitcoin ETF will also bring more choices to investors. Traditional cryptocurrency exchanges have problems with security and transparency, and the launch of Bitcoin ETF will provide investors with another way to invest, lower the investment threshold, increase investor participation, and inject more vitality into the market.

However, the approval of Bitcoin ETF also faces some challenges and risks. First of all, regulation is the primary problem facing Bitcoin ETF. The cryptocurrency market has always lacked regulation. Once Bitcoin ETF is approved, a sound regulatory system needs to be established to protect the interests of investors and prevent market manipulation and fraud.

In addition, market volatility is also a challenge faced by Bitcoin ETF. The price fluctuations in the cryptocurrency market are large. Once Bitcoin ETF is launched, it may increase market volatility and pose a greater risk to investors. Therefore, regulatory authorities need to strengthen supervision, guide the healthy development of the market, and prevent market risks.

In summary, the application for Bitcoin ETF has been put forward again, which undoubtedly brings new hope and challenges to the market. On the one hand, the approval of Bitcoin ETF will bring more opportunities to the market, attract more traditional investors to enter the market, and improve the liquidity and stability of the market; on the other hand, regulation and market volatility are still challenges faced by Bitcoin ETF. In the future development, all parties need to work together to promote the healthy development of Bitcoin ETF and push the cryptocurrency market towards a more standardized and mature direction. Let us wait and see and witness the future development of Bitcoin ETF!

The four most famous international exchanges:

Binance INTL	OKX INTL	Gate.io INTL	Huobi INTL
China Line　APP DL	China Line　APP DL	China Line　APP DL	China Line　APP DL

Note: The above exchange logo is the official website registration link, and the text is the APP download link.

On June 17, documents released by the U.S. Securities and Exchange Commission (SEC) showed that asset management company WisdomTree Trust applied to launch an exchange-traded fund (ETF) aimed at providing broad market exposure to four commodity sectors: energy, agriculture, industrial metals, and precious metals, mainly through investments in futures contracts. It is reported that 5% of net assets will be invested in CME Bitcoin futures contracts. ETFs have not appeared in various news reports on cryptocurrencies for a long time, and this time WisdomTree's application did not attract much attention from the market. Cryptocurrency supporters have long believed that Bitcoin ETFs will bring huge impetus to the development of this emerging industry. But the repeated failures of various ETF applications have really discouraged the market. According to Bloomberg, Todd Rosenbluth, director of ETF and mutual fund research at CFRA Research, said: "The SEC has directly emphasized many concerns about Bitcoin ETFs and is unlikely to approve an ETF that explicitly tracks Bitcoin." In February of this year, the SEC rejected Wilshire Phoenix's application to launch a Bitcoin ETF on NYSE Arca. The proposal hopes to use a mixture of Bitcoin and short-term Treasury bonds to mitigate the volatility of cryptocurrencies. However, the SEC believes that Wilshire has not yet proved that the Bitcoin market is resistant to market manipulation. The problem of market manipulation has also become a mountain that blocks all Bitcoin ETF proposals.

In recent years, the Bitcoin market has gradually become a "futures market" where stocks fight each other. Various malicious sharp pulls and drops have made many traders feel the recklessness of "bankers". Perhaps, the problem of market manipulation has not improved, but has continued to worsen, which makes the approval of ETFs even more slim.

The ETF applied by WisdomTree Trust is called WisdomTree Enhanced Commodity
Strategy Fund. The filing stated that it will provide broad exposure to four commodity areas through futures contracts: energy, agriculture, industrial metals and precious metals.

Bloomberg believes that another potential problem with WisdomTree's proposal is the use of futures. In April this year, the price of oil futures contracts fell to negative values, causing the US Oil Fund to waver, and this practice has been increasingly scrutinized.

In addition, it is worth noting that the fund intends to invest 5% of its net assets in CME Bitcoin futures contracts. The CME bitcoin futures contract is a cash-settled contract, so investors don’t invest directly in bitcoin. Steven Dunn, head of ETFs at Aberdeen Standard Investments, said: “My experience tells me that in a world where we have physical products and futures products, most investors want and expect the spot price, they want to get the physical product. I always feel a little bit worried, do investors really understand what they are buying?”