Michael Saylor Recognizes Benefits of Ether ETFs for Bitcoin

In a significant shift in perspective, Michael Saylor, founder of MicroStrategy, now sees the approval of Ether exchange-traded funds (ETFs) as a boon not only for Ether but also for Bitcoin.

During a conversation with Peter McCormack on the May 25 episode of the “What Bitcoin Did” podcast, Saylor articulated his optimistic view on how this approval could accelerate Bitcoin adoption. “Is this good for Bitcoin or not? Yes, I think it’s good for Bitcoin, in fact, I think it could be better for Bitcoin because I think we are much more powerful politically, supported by the entire crypto industry,” Saylor highlighted.

This new position emerges after the US Securities and Exchange Commission (SEC) approved eight spot Ether ETFs on May 23, a decision that Saylor believes will strengthen the infrastructure supporting Bitcoin. “They serve as another line of defense for Bitcoin,” he commented, suggesting that Ether ETFs add an additional layer of legitimacy and protection for Bitcoin within the traditional financial system.

Saylor also reflected on the impact of this change on the perception of institutional investors, who may now view cryptocurrencies as a legitimate asset class. He speculates that although funds can be allocated to various cryptoassets, Bitcoin, as the leader among them, will capture the majority of investments. “I think mainstream investors will say, oh, there’s a crypto asset class now, maybe we’ll allocate 5% or 10% to the crypto asset class, but Bitcoin will be 60% or 70% of that,” Saylor said.

Previously skeptical that Ether spot ETFs would be approved by the SEC, Saylor had projected a scenario where Bitcoin could be the only crypto asset legitimized through a spot ETF by Wall Street. However, the reality proved to be different, and this change of scenario made Saylor recognize the potential of Ether ETFs to further boost the Bitcoin ecosystem.

Saylor’s new stance has sparked discussion in the cryptocurrency community, with figures such as Joe Carlasare and analyst Ricky Bobbyy weighing in on the implications of this change in perspective, with Bobbyy asking, “Is the next step for Saylor to buy ETH? That’s a serious 180.”

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