Latest crypto news: WisdomTree, an investment fund that manages $93.6 billion in assets, announced yesterday that it has launched a blockchain-native investment mobile app that allows users to trade Bitcoin, Ethereum and tokenized physical assets.
After its recent application to the SEC for a spot ETF, here is WisdomTree again making waves with another initiative that shows a very strong interest in the world of cryptocurrencies.
Let’s take a look at all the details together
Latest crypto news: WisdomTree and the launch of blockchain-enabled financial app
The latest crypto news talks about the launch of a blockchain-native financial app by WisdomTree, an investment fund that a few days ago applied to the Securities and Exchange Commission for a spot Bitcoin ETF.
The New York-based company, which has long been thinking about a mobile app that would allow users to easily buy cryptocurrencies, took the leap yesterday by launching the “WisdomTree Prime” product in the Apple Store and Google Play.
The app is initially available only in 21 US states, but the user base will soon be expanded to the entire country.
WisdomTree Prime combines the world of cryptocurrencies, digital funds, and tokenized physical assets into a single experience, all through a simplified user interface.
The investment fund believes especially in the future of tokenized assets, which are physical assets whose ownership is registered through the use of a distributed digital database, namely the blockchain.
Hence, users will be able to purchase not only Bitcoin, Ethereum and 9 digital funds, but also gold in token form.
As a provider infrastructure that issues digital tokens representing gold, WisdomTree will rely on the decentralized exchange Stellar, which through its structure from AMM will also provide “instant settlement” for trading.
Regarding the crypto news, Wisdom Tree’s digital asset product manager Jason Guthrie said:
“The idea really being that we get a familiar experience and lay it on top of this new technology innovation for storing and moving value around to try to smooth the edges off that experience today.”
According to the company, the concept of simplicity in the context of investing is key: offering the ability to exchange dollars, cryptocurrencies, tokenized gold and other assets within a single app avoids inconveniencing the end user with the multitude of infrastructures and platforms peculiar to the blockchain world.
The goal is to take a step forward in terms of offering blockchain-native financial products while simplifying the buy/sell process that the customer will need to interface with.
Applications for a spot Bitcoin ETF
The latest crypto news regarding the launch of the blockchain-based application by WisdomTree represents a milestone in the investment fund’s advancement into the universe of digital currencies.
A few days ago, WisdomTree itself had applied to the SEC for a spot Bitcoin ETF, joining other hedge funds and asset investment firms such as Blackrock, VanEck, Invesco, Fidelity, and Wise Origin.
A small step toward final approval was taken on Tuesday 11 July, with the Chicago Board Options Exchange (CBOE) reaching an oversight agreement along with Coinbase on five published ETF applications, including that of WisdomTree.
Although many experts have made it explicit that the likelihood of approval is high, there is still a long way to go and it could be months before the actual release of the financial product.
The Securities and Exchange Commission will have until 15 March 2024 before it has to come to a final conclusion, either approving the ETFs that many providers have applied for, or rejecting them by providing adequate explanations.
The entire cryptocurrency world, including its most prominent exponents, are lobbying the SEC for ETFs that would lead to obvious benefits for the entire industry.
Grayscale, for example, sent a letter to a judge protesting the fact that an X2 leverage ETF has been approved in the past by the federal agency, while a spot ETF was rejected.
The choice obviously would not go in the direction of investor protection since the leverage product is significantly riskier.
In any case, the CEO of Grayscale himself has made public his optimism about the issue, saying that it is only a matter of time before the ETF will be approved.
As everyone has well guessed, the approval of such a product will be crucial in driving the next uptick in the cryptocurrency sector.
Many expect Bitcoin to exceed $100,000 precisely during the bull phase that will be triggered by this phenomenon.
It is worth remembering that gold, at the time of ETF approval in 2004, had a positive performance of 346%.
If BTC were to repeat the same percentages, it would reach $138,000.
We look forward to this historic moment.
