Another Round of Bitcoin Spot ETF Rejections Likely: BitGo CEO

• Market experts believe that a Bitcoin spot exchange-traded fund (ETF) approval is likely following Grayscale's legal victory against the SEC.
• However, BitGo's CEO, Mike Belshe, disagrees and suggests that the SEC may reject several spot Bitcoin ETF applications due to a lack of separation between crypto exchanges and custodial service providers.
• Belshe points out that many ETF applicants, including BlackRock and Valkyrie, have chosen Coinbase as their custodial partner, which goes against the traditional separation between exchanges and custodians in the financial landscape.
• Belshe argues that all spot Bitcoin ETF applicants should separate exchanges from custodial services to make progress with the SEC.
• Despite concerns about market manipulation and customer protection, financial market analysts are growing more optimistic about a favorable ruling for Bitcoin spot ETFs in the coming weeks.
• BlackRock, the world's largest asset management firm, has also filed an S-1 form with the SEC to provide investors access to the performance of Ethereum through the iShares Ethereum Trust.
• The trust will allow investors to track the price performance of Ethereum without directly owning the asset, with Coinbase serving as the custodial partner.
• BlackRock's filing is the first step in the ETF approval process, with subsequent stages involving seeking approval from the Trading and Markets Division and the Corporate Finance division of the SEC.

The sentiment of the article is mixed. Market experts are optimistic about a Bitcoin spot ETF approval, while BitGo's CEO is pessimistic due to the lack of separation between exchanges and custodians. However, the overall tone suggests that there is growing interest and potential for both Bitcoin and Ethereum ETFs.