Gemini says ETF approval is ‘game-changer’ for crypto futures market Gemini says ETF approval is ‘game-changer’ for crypto futures market
The crypto futures market is enjoying heavy trading activities from enthusiasts speculating on prices of digital assets.
2 min read
Updated: Jan. 11, 2024 at 12:25 pm UTC
Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.
Gemini said the spot Bitcoin exchange-traded fund (ETF) approval in the U.S. is “a game-changer for the crypto futures market.”
In a Jan. 11 post on the social media platform X (formerly Twitter), the cryptocurrency exchange explained that the arrival of these ETFs would provide more liquidity and diverse market participation that could redefine the dynamics of perpetual contracts.
This view is quite similar to that of Coinbase, the largest U.S.-based cryptocurrency exchange by trading volume, which previously stated that the approval of a spot Bitcoin ETF will lead to the development of new “compliance-friendly” financial products.
Several market observers have also pointed out that the approval will attract more market capital and “legitimize” BTC investments for traditional investors who are inherently wary of the emerging industry.
“The ETF approval signifies Bitcoin legitimacy and permanence in the financial landscape. Setting the stage for increased participation by authorized participants, exchanges, and custodians,” Gemini’s Head of Institutional Claire Ching said.
The futures market enjoys massive trading volume from crypto traders speculating on the price of digital assets, especially in the weeks leading to the ETF approval. Deribit, a leading crypto options & futures exchange, revealed that its daily trading volume surpassed $5.5 billion on Jan. 10 because of the market anticipation generated by the ETF investment products.
Gemini will play a pivotal role in 7RCC’s environment-conscious spot Bitcoin ETF. The asset manager picked the exchange as the custodian for its anticipated BTC holdings.
Crypto community welcomes ETF approval.
Meanwhile, other key figures in the crypto industry have also shared their perspectives on the ETF approval.
Ripple CEO Brad Garlinghouse acknowledged the historical significance of the moment, stating that it further legitimizes crypto as an asset class. Garlinghouse anticipates the approval will catalyze greater institutional adoption and real-world usage for blockchain and BTC.
Binance CEO Richard Teng also joined the chorus, declaring that the spot Bitcoin approval would introduce Bitcoin to a new class of investors, expanding its reach and impact on the market.
Similarly, Chainlink’s co-founder Sergey Nazarov told CryptoSlate that the “Bitcoin ETF approval has made it clear that traditional financial institutions have a significant role to play in determining how the crypto markets evolve.”
Mentioned in this article
Bitcoin 
Gemini 
Coinbase 
Binance 
Ripple 
Cameron Winklevoss 
Tyler Winklevoss 
Richard Teng 
Brad Garlinghouse 
Sergey Nazarov Author 
Oluwapelumi Adejumo
Oluwapelumi values Bitcoin's potential. He imparts insights on a range of topics like DeFi, hacks, mining and culture, underlining transformative power.
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In this article
Bitcoin, a decentralized currency that defies the sway of central banks or administrators, transacts electronically, circumventing intermediaries via a peer-to-peer network.
Gemini
Gemini is a regulated digital asset exchange and custodian that allows customers to buy, sell, store, and stake digital assets in a regulated, secure, and compliant manner.
Coinbase
Coinbase is a digital currency exchange and wallet service that allows individuals to buy, sell, and store digital currencies, such as Bitcoin, Ethereum, and Litecoin.
Binance
Binance is a global cryptocurrency exchange that provides a platform for trading more than 100 cryptocurrencies.
Ripple
Ripple is a US-based technology company which develops the Ripple payment protocol and exchange network using XRP, the digital asset native to the XRP Ledger.
Cameron Winklevoss, a renowned figure in the cryptocurrency sector, is a Harvard University graduate with a degree in Economics and holds an MBA from Oxford University.
Tyler Winklevoss, known for his pioneering role in the cryptocurrency realm, is a Harvard University alumnus with a degree in Economics and holds an MBA from Oxford University.
Richard Teng, a veteran in the financial services and regulatory sectors, boasts over three decades of extensive experience.
Brad Garlinghouse stands at the forefront of financial technology as the CEO of Ripple.
Sergey Nazarov began his career building peer-to-peer marketplaces, going on to the investment team at FirstMark Capital.
