Hal Finney's predictions are finally coming true with the approval of Bitcoin ETFs

Hal Finney, the legendary cypherpunk who passed away in 2014, witnessed the birth of Bitcoin long before the world understood its potential. About a year ago, in January 2025, his legacy found a new form of recognition when Bitcoin received its first SEC-approved spot exchange-traded funds (ETFs). This approval marks a pivotal turning point: Hal Finney and the pioneers of the cypherpunk era transformed an underground project into an institutional asset recognized by Wall Street.

Hal Finney, the Forgotten Visionary of Bitcoin

On January 11, 2009, Hal Finney posted the famous message “Running Bitcoin” on X (formerly Twitter). Two days later, he became the first person, after the anonymous creator Satoshi Nakamoto, to download and use the Bitcoin software. This simple act carried a remarkable prophecy. In an email exchange with Nakamoto, Finney estimated that a significant portion of global wealth would be invested in Bitcoin and that each of the 21 million tokens could reach a value of $10 million.

At the time, no one could have imagined that Bitcoin would go from less than a cent to over $126,000, surpassing all expectations. Hal Finney did not live long enough to see this vision come true, but his brilliant intuition about Bitcoin’s trajectory proved astonishingly prescient.

From Underground to Wall Street: The Historic ETF Approval

The approval of spot Bitcoin ETFs represents much more than a regulatory decision. It symbolizes Bitcoin’s transition from a marginal technological experiment to an institutional alternative asset. Leading approved providers include financial giants BlackRock and Fidelity, alongside Grayscale Bitcoin Trust (GBTC), which was once criticized by crypto minimalists.

Fees for these products vary significantly: some, like ARK, Bitwise, and Invesco, started with zero fees for the first few months, while Grayscale maintains a 1.5% rate. This fee competition reflects the growing appetite of institutional investors for Bitcoin exposure.

The road to this approval was long and fraught with obstacles. Cameron and Tyler Winklevoss, co-founders of the Gemini exchange, submitted their first spot Bitcoin ETF application in 2013, when Bitcoin was still largely ignored. The application was immediately rejected. Grayscale, on the other hand, had to wait about eight years of attempts before its Bitcoin Trust was converted into an approved ETF vehicle.

Bitcoin Price Surpasses Finney’s Wildest Dreams

Since the ETF approval, Bitcoin has reached dizzying heights that would have delighted Hal Finney. The price flirted with $70,000 before stabilizing around $68,320, well above the 2021 peak of $69,000. Currently, Bitcoin is up 5.19% over 24 hours and has set a new all-time high exceeding $126,000.

This bullish movement is accompanied by a notable redistribution of capital flows. Altcoins, including Ethereum, Solana, Cardano, and Dogecoin, have outperformed Bitcoin, signaling a renewed appetite for high-risk assets and a rotation into higher-beta tokens. This dynamic suggests that ETF approval has bolstered overall confidence in the crypto ecosystem, not just in Bitcoin itself.

Risks Still Threatening This Euphoria

Despite the apparent enthusiasm, analysts remain cautious about Bitcoin’s medium-term outlook. Several concerns persist. Global macroeconomic conditions remain fragile, with persistent inflation and geopolitical uncertainties. The stagnant supply of stablecoins could also hinder new capital inflows.

Additionally, critical support levels must be monitored. A collapse of Bitcoin below $60,000 could trigger cascading liquidations, increasing volatility. This vulnerability reminds us that even as an institutional asset, cryptocurrencies still carry inherent risks.

The approval of spot Bitcoin ETFs marks a milestone in cryptocurrency history. It, in a way, validates the bold vision of Hal Finney and his pioneering cypherpunk peers. From the initial anarcho-libertarian ideals to acceptance by traditional financial institutions, Bitcoin has taken an improbable path. Hal Finney may no longer be here to witness it, but his legacy lives on through the millions of wallets now holding Bitcoin with full legal and regulatory confidence.