Announcing the decision for real on Wednesday, Gary Gensler, Chairman of the commission, said approval was “the most sustainable path forward”. 

But he went on to say the SEC did not approve of or endorse Bitcoin in general, adding: “Investors should remain cautious about the myriad risks associated with Bitcoin and products whose value is tied to crypto.”

Crypto ‘here to stay’

Until now, countless investors have been hesitant about actually buying Bitcoin due to the relatively painstaking process of doing so and the risks associated with using unregulated exchanges.

Those who took the plunge would have to either have to open an account with a crypto trading platform or store Bitcoin in digital wallets. 

However, the SEC’s symbolic decision means these investors are now being given exposure to the world’s most popular cryptocurrency via a number of regulated products, without directly holding it. 

Authorisation of the ETFs has largely been driven by external pressure, with US courts overturning various SEC rulings in recent months. 

An ETF is best described as a group of assets divided into shares, allowing investors to buy or sell shares in funds containing Bitcoin.