Cryptocurrencies offer an alternative route for building and storing wealth. While directly holding these digital assets is a popular option, investors are also clamoring for financial products such as cryptocurrency exchange-traded funds (ETFs).
“There is a high demand for a Bitcoin product that has all the features that people love about ETFs — that they trade on an exchange, that they’re liquid,” Ross Mayfield, investment strategy analyst at Robert W. Baird & Co., told Bloomberg in mid-2021.
Interest has only increased since then — in mid-2023, Sean Farrell, head of digital asset strategy at Fundstrat, stated that growing demand in the market for Bitcoin ETFs has the potential to surpass the precious metals ETF market at some point.
“Bitcoin ETF eventually could become >$300 billion category,” he wrote in a note to investors.
Canada approved the first pure-play Bitcoin ETFs for trade on the TSX in early 2021. These…
