A possible approval of a spot Bitcoin exchange-traded fund (ETF) won’t be a game changer for crypto markets, although it might benefit the leading cryptocurrency, according to a report by JPMorgan managing director Nikolaos Panigirtzoglou.

Based in London, Panigirtzoglou is part of JPMorgan’s global market strategy team. He believes that a Bitcoin (BTC) ETF in the United States would have a similar impact as those seen in Canada and Europe, where spot Bitcoin ETFs have been around for some time.

According to the report seen by Bloomberg, Bitcoin ETFs have overall “attracted little investor interest” in other jurisdictions in the past two years, further “failing to benefit from investor outflows from gold ETFs.”

The strategist also sees the benefits of a Bitcoin fund receiving the green light in America. According to Panigirtzoglou, an approval could bring more liquidity to Bitcoin markets but could also lead to a migration of trading activity from BTC futures products.

Panigirtzoglou’s view goes in a different direction from the high expectations that surround an approval of a Bitcoin ETF in the United States. During an interview on July 6, BlackRock’s CEO, Larry Fink, suggested that investors could turn to Bitcoin as a hedge against inflation and the devaluation of fiat currencies.

“Let’s be clear: Bitcoin is an international asset,” said Fink, adding, “It’s not based on any one currency, and so it can represent an asset that people can play as an alternative.” As reported by the Labor Department, the annual inflation rate for the U.S. was 4.0% for the 12 months ending in May.

#Bitcoin is an International Asset. – Larry Fink, BlackRock CEO pic.twitter.com/WIVKITXYPj

— Michael Saylor⚡️ (@saylor) July 5, 2023

BlackRock’s consistent success in filling ETFs has led to optimism that its try for a Bitcoin ETF might also succeed. According to data from Eric Balchunas and James Seyffart at Bloomberg Intelligence, only one of 550 funds filed by the company has been rejected to date.

BlackRock’s application was followed by a wave of refilings with the Securities and Exchange Commission (SEC), with Invesco, Fidelity, WisdomTree and ARK Invest among the proponents in line for regulatory approval. Several applications have been denied by the SEC in the past.