Discover the latest milestone in the world of Bitcoin ETFs as they reach $10 billion in just one month. Learn how this human touch technology is changing the game for cryptocurrency investors.
Spot Bitcoin exchange-traded funds (ETF) have recently gained massive popularity, surpassing $10 billion in assets under management (AUM) shortly after receiving approval from the United States securities regulator. The value of Bitcoin has also seen a 12% increase since the approval of these ETFs.
So, what exactly is a spot Bitcoin ETF? Well, it tracks the spot market price of Bitcoin and directly invests in the cryptocurrency at the current market price. This makes investing in spot ETFs more economical and easier than investing directly in Bitcoin, hence their popularity among investors.
According to data from BitMax Research, nine spot Bitcoin ETFs reached a total AUM of $10 billion in just 20 trading sessions following their approval. The largest spot Bitcoin ETF, as of February 9, is BlackRock’s iShares Bitcoin Trust with $4 billion in assets, followed by Fidelity’s Wise Origin Bitcoin Fund with $3.4 billion in total inflows.
Other major spot Bitcoin ETFs include ARK 21, BITB Bitwise, and BTCO Invesco, with AUM totaling $1.02 billion, $0.857 billion, and $0.343 billion, respectively. On February 9, spot ETFs saw net inflows of $541.5 million as the price of Bitcoin crossed the $48,000 mark for the first time since the approval of these ETFs.
This surge in AUM for spot Bitcoin ETFs indicates a growing interest in alternative investment options, particularly in the cryptocurrency market. As the popularity and demand for these ETFs continue to rise, it will be interesting to see how they impact the overall landscape of cryptocurrency investments in the future.