# Bitcoin ETF: A High-Speed Highway for Institutional Funds
The introduction of a Bitcoin spot ETF is akin to constructing a major highway linking Seoul and Busan, symbolizing a direct route for institutional funds into the cryptocurrency market. On October 12, Seokmoon Jeong, head of research at Korbit, compared Bitcoin ETF’s listing to opening a critical infrastructure during his appearance on BlockMedia’s ‘JJ Crypto Live Plus.’
Jeong predicts that substantial funds will flow into Bitcoin through its ETF over the coming months and years. He noted that Bitcoin is currently expanding its base as a “store of value,” one of the three fundamental functions of money, which also include being a medium of exchange and a unit of account.
## Evaluating the Bitcoin ETF Listing
Assessing the Bitcoin ETF’s debut, Jeong likened it to the construction of an expressway connecting Seoul and Busan, implying that significant capital will now flow into Bitcoin. He believes this will enable Bitcoin to eventually fulfill all three critical functions of money.
## Other Cryptocurrencies and ETFs
When asked whether the Bitcoin ETF could pave the way for other cryptocurrencies like Ethereum, Jeong acknowledged the initial adoption challenges. Traditional finance hesitated to embrace new virtual assets like Bitcoin. However, once this initial hurdle is overcome, it may open the door to greater intellectual curiosity and understanding of other digital assets.
The deadline for approving an Ethereum spot ETF is mid-May, and Jeong believes it will be significantly easier for funds already invested in Bitcoin to transition into Ethereum.
## Bitcoin’s Evolution into Money
Jeong explained that Bitcoin is gradually evolving into money, emphasizing that the term “money” is often associated first with a medium of exchange. Historically, a commodity becomes money either through state imposition or a longer-term social consensus. Recent Western and Eastern history, where commodities like wheat or seashells were used as money, highlights this natural evolution.
He noted that today’s prisons operate similarly, where items like mackerel tins serve as currency among inmates, a situation shaped by consensus rather than imposed regulations. This analogy underscores Bitcoin’s journey, facilitated by collective agreement among its users, towards becoming money.
## The Role of Bitcoin ETFs
The Bitcoin ETF could facilitate the next step in Bitcoin’s evolution. Historically driven by retail investors, Bitcoin’s adoption as a store of value could expand immensely with institutional participation. Jeong remarked that considering Bitcoin’s utility as a medium of exchange is premature. At this stage, Bitcoin is gaining acceptance primarily as a savings tool, not a transactional currency.
The acceptance of Bitcoin by sovereign wealth funds as part of their ETFs represents a broader form of recognition. Jeong anticipates that such institutional acceptance will happen within the year, continuing a trend started in 2021. He dismissed the notion that adoption by smaller nations or funds is insignificant, pointing out that many countries have unstable currencies and could turn to Bitcoin for stability.
In summary, the Bitcoin ETF sets the stage for substantial institutional investment, signaling a broader acceptance and bolstering Bitcoin’s position as a store of value in the financial ecosystem. The ETF marks a pivotal moment in Bitcoin’s maturation towards fulfilling all functions of money.
