TL;DR Breakdown
• Three companies dedicated to crypto assets have created Bitcoin Futures ETFs.
• Bitcoin Futures ETFs have become the first investment funds to be approved by the United States.
ProShares, VanEck, and Valkyrie are three crypto asset management companies creating mutual funds that allow you to invest in an asset without actually buying it.
These launchings took place in October and have become a revolutionary announcement that will mark the cryptocurrency market. They are the first Bitcoin Futures ETFs that have been able to obtain approval in the United States.
The first ETF to go on the market was ProShares, which traded under a BITO symbol on the New York Stock Exchange. The representatives of this company have commented that many investors have been waiting for this launch.
The first Bitcoin Futures ETFs to hit the market
ProShares was the first company to launch its ETF on October 19, and in 2 days, it raised $1 billion in investments. It has become an impressive record for both the company and ETFs.
The second company to launch its ETF was Valkyrie. It went on the market on October 22 under the ticker symbol BTFD. Within five days of its release, it raised $10 million. Then the third company to launch its Bitcoin Futures ETFs was VanEck under the symbol XBTF.
This latest ETF is due to trade on October 31, and for $00 invested, it promises a $0.65 administration fee. It is a rate lower than its competitors that, for $100 invested, offer a rate of $0.95.
Representatives of these companies have commented that ETFs will track the Bitcoin futures price, which has become popular thanks to retail crypto-asset exchanges. Among the best-known exchanges are Kraken, BitMEX and FTX, etc.
Since 2017, some asset managers have worked and applied for approval to bring Bitcoin ETFs to market, but all were rejected.
Three ETFs preparing to revolutionize the crypto market
These ETFs launched on the market in recent weeks are related to the Bitcoin price. Be aware that ETFs tied to the Bitcoin price have not yet been approved by the US government.
Futures ETFs can be traded on conventional markets such as Nasdaq. This opportunity can gain attention and attract more prominent investors who do not want to have digital currencies in a portfolio or who do not wish to make purchases through retail exchanges.
In a recent interview, Steven McClurg, the Valkyrie director, commented that the ETFs market could grow, but few companies are involved so far. He has said that the other ETF providers must go different ways without repeating the success of these three companies with their Bitcoin Futures ETFs.
