After a year of falling prices, SEC lawsuits, and company failures, news of BlackRock’s spot Bitcoin ETF application earlier this month was a welcome reprieve: Bitcoin hit price of Bitcoin soaring. At the same time, market players say Wall Street effectively controlling millions of tokens as portfolio assets could give TradFi firms outsize influence over the space.
Including even one-third of all Bitcoin in financial products could be harmful to the overall network, causing it to deviate from its original purpose, said Steven Lubka, head of Swan Private at Swan Bitcoin, a financial services firm.
