- ProShares Bitcoin-linked ETF hit $ 1 billion in management in just two days, a record for the ETF industry.
- Gold ETF GLD holds the previous record, surpassing the $ 1 billion mark in the three days since its launch in 2004.
- A second Bitcoin Futures ETF is set to launch next week.
ProShares Bitcoin Strategy ETF ($ BITO), the first bitcoin-linked exchange-traded fund in the United States, Become The fastest ETF to reach the সম্প 1 billion mark in assets under management (AUM).
The previous record holder, Gold ETF GLD, took three days to cross the ten mark and that BITO did it in just two. Since going live yesterday, the fund has transacted more than $ 2 billion.
BITO went live yesterday as an alternative investment vehicle for retail and institutional investors interested in indirect bitcoin exposure. The fund invests in bitcoin futures contracts instead of actual BTC and thus the fund’s share price increase cannot track the bitcoin spot market price.
A trend inspired by Securities and Exchange Commission (SEC) chair Gary Gensler was an ETF to invest in Bitcoin futures instead of actually holding BTC. In September, Gensler said that offers of bitcoin exposure through CME-controlled futures contracts would have a high probability of approval, citing “investor protection” concerns.
More than a month later and the first BTC-linked ETF to start trading in the United States, a second offer associated with BTC, VanEck Bitcoin Strategy ETF (XBTF) has received regulatory approval for listing in the country and is ready to start trading on October 25.
It is doubtful whether a Bitcoin Futures ETF will provide a higher level of investor protection than a spot BTC one. In both cases, investors can choose the highest level of protection by buying and holding real bitcoin themselves. Despite a brief activity, learning how to become financially sovereign with the help of Bitcoin is an opportunity that can pay dividends in the long run.