Coinbase is confident that a U.S. bitcoin exchange-traded fund will be approved by the U.S. Securities and Exchange Commission, according to the company’s chief legal officer, Paul Grewal, in an interview with HaberTusba.

Grewal expressed his hopefulness that these ETF applications will be granted under the law.

A recent court ruling against the SEC’s denial of Grayscale’s bitcoin fund conversion into an ETF suggests a potential approval for a bitcoin-related ETF in the coming months.

Grewal emphasized the strength of proposals from major financial service companies, indicating progress in the approval process.

However, Grewal did not provide a specific timeline, noting that the final decision rests with the SEC.

Grewal highlighted the SEC’s failure to block Grayscale’s fund conversion as a strong indication that a bitcoin ETF will likely be approved soon.

Grewal expressed confidence in the SEC’s responsibility to fulfill its duties following the court ruling.

A bitcoin ETF would provide investors with exposure to bitcoin without directly purchasing it from an exchange, which could be appealing to retail investors.

Coinbase, as the largest crypto exchange in the United States, stands to benefit from an approved bitcoin ETF as it is a common stock held in portfolios for crypto exposure.

However, Grayscale’s bid to convert its fund into an ETF faces challenges due to a lawsuit accusing its parent company and subsidiaries of defrauding investors.

Despite this, Grewal remains positive about the approval of other bitcoin ETFs in the near future.

Bitcoin has experienced a stealthy comeback, rising about 72% this year after significant declines in 2022.

Investor demand for bitcoin has increased due to the potential end of the Federal Reserve’s interest rate rises and anticipation of the upcoming bitcoin “halving” event.

However, trading volumes have declined, partly due to decreased retail investor interest and the fallout from the failures of industry players like FTX, BlockFi, and Three Arrows Capital.

Grewal acknowledges the criminal trials and regulatory actions holding bad actors accountable in the crypto space, which he believes will reignite investor and consumer interest.