The SEC (Securities and Exchange Commission) ultimately approved the spot bitcoin ETF (BTC-USD) for several firms including Grayscale, Fidelity, and Bitwise, after Tuesday's false alarm. Now investors can engage with the cryptocurrency without holding the digital asset on crypto exchanges or in digital wallets.

Delta Blockchain Fund General Partner Kavita Gupta joins Yahoo Finance to give insight into what the approval means for crypto at large and what investors need to keep in mind as they look to invest in the ETF.

"I really feel like for the retail customer at this point of time, at least when it comes to cryptocurrencies associated, I'm not very sure how much SEC is towards retail customers or not," Gupta says. "Even in their announcement, they have talked about that it's already available through different drop rate systems, through Grayscale Trust, etc. So, it's not like retail customers do not actually have it excessively available, it's just going to be much more easier now."

For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live.

Editor's note: This article was written by Nicholas Jacobino

Video Transcript

JOSH LIPTON: The Securities and Exchange approving spot bitcoin ETFs that will start trading tomorrow. Our next guest says it's an exciting transition for bitcoin and the crypto industry, potentially ushering in a new class of retail investors. For more on today's spot bitcoin ETF decision, we're talking to Kavita Gupta, Delta Blockchain Fund General Partner.

Kavita, it is good to see you. So it's a big day here for bitcoin, for the crypto industry. We know crypto fans have been waiting for this, Kavita, for a while. First off, let's just get your response, your reaction, Kavita, to this news.

KAVITA GUPTA: Josh, first of all, thank you for having me. And finally, we are here. It only took 10 years, not a big deal, and a court case, which is actually also mentioned by Gary Gensler's comment that actually after the US District Court of Appeal in DC actually said that what is the reason for hold up at commission is what made them actually approve it. So finally, it is a win by the government by the US Court system instead of just SEC. But we are finally here and very excited about it.

JULIE HYMAN: You know, that said, as you point out, the hand of the SEC was really forced here. And Gary Gensler makes that abundantly clear in his statement, saying at the end, we don't approve or endorse bitcoin. You can almost sense him holding his nose as he's putting this thing out. There was actually a dissent from another commissioner at the SEC, Caroline Crenshaw, who said the commission's actions are unsound and ahistorical and said they could sacrifice investor protection. You know, what do investors still need to keep in mind here if they're investing in bitcoin when you have these regulators telling them it's not safe?