Crypto investing isn't just a fad, CFTC Commissioner Mersinger says amid latest ETF-fueled bitcoin rally

Quick Take

The more traditional finance steps into the space, the less likely these products are going away, the Republican commissioner told CoinDeskTV on Tuesday morning.

The Commodity Futures Trading Commission's Summer Mersinger, in comments made following bitcoin's latest surge in price over the past day, said investing in cryptocurrency is no longer a fad.

Bitcoin surged to over $35,000 on Tuesday morning amid rising anticipation that spot bitcoin ETFs could soon be approved. The Republican commissioner told CoinDeskTV that certain bitcoin-related ETFs have traded for some time and that there is institutional interest in investing in crypto.

"I think there's a lot of interest in these products," Mersinger said. "And, you know, the market is ready for these products to be available."

"There was a thought at some point by regulators that this was almost a fad that people would move on," Mersinger later said. "The more we see traditional finance stepping in and really investing, it's just further proof that these products aren't going away."

The latest uptick in bitcoin's price came after BlackRock's proposed spot bitcoin ETF, the iShares Bitcoin Trust, made an appearance on a list maintained by the Depository Trust and Clearing Corporation, which some analysts took as a positive step toward final approval by the Securities and Exchange Commission.

Traditional finance

BlackRock's fund is one of a dozen bitcoin ETFs awaiting approval by the SEC. The agency has not yet approved a spot fund but did allow bitcoin futures ETFs to begin trading in 2021.

Other big names have filed for spot bitcoin ETFs including Grayscale Investments, Fidelity and WisdomTree.