Značka: valkyrie

Interest wanes in Bitcoin futures ETF’s as contracts fall below 5K

After a stellar launch, interest has waned in the ProShares Bitcoin Strategy Exchange Traded Fund (BITO) which now has the lowest amount of CME contracts since Nov. 2021.The Bitcoin futures exchange traded fund (ETF) holds a total of 4,904 Chicago Mercantile Exchange (CME) futures contracts, according to the fund’s latest update from Jan. 11. A Bitcoin futures ETF allows investors to speculate on the future price of Bitcoin (BTC) without having to hold the asset themselves.BITO’s assets under management (AUM) figure has retraced to $1.16 billion from a high of $1.4 billion last Nov. This is about the same amount it held two days after its Oct. 18 launch when it became the fastest fund to reach $1 billion in AUM ever.Arcane Research discussed possible reasons for the BITO retrace in its latest Weekly Update. As you might expect, the poor price performance of BTC over the past two months is the chief explanation, as Bitcoins drifts ever further from the $69,000 it reached on Nov. 10 down to its current price around $43,700. Arcane suggests another explanation for the declining interest in BITO is the high cost that comes with operating a futures-based ETF, with the rolling costs required each month to stay ahead of the current BTC price driving up costs:“BITO sells its front-month exposure to buy the next-month contract each time the contract approaches expiry.”Arcane believes that a spot-based BTC ETF would not be subject to the same high fees that grow over time. The SEC has not yet approved any such ETFs, but a ruling on the filing by Fidelity Investments is scheduled to be made by Jan. 20.Other BTC futures ETFs have also failed to significantly increase their AUMs, which are a fraction of the assets of BITO. Valkyrie’s Bitcoin futures ETF (BTFD), which launched just days after BITO, currently holds $71.9 million. Related: Bitcoin holdings of public companies surged in 2021Although the VanEck Bitcoin Strategy ETF (XBTF) has increased its AUM by $6 million since its Nov. 16 launch, it currently holds just $15.8 million according to Dividend.com.

Čítaj viac

Valkyrie’s latest ETF offering has exposure to Bitcoin

Crypto asset manager Valkyrie has launched an exchange-traded fund with exposure to Bitcoin on the Nasdaq Stock Market.In a Wednesday SEC filing, Valkyrie said its Balance Sheet Opportunities ETF will not invest directly in Bitcoin (BTC) but 80% of its net assets would offer exposure to the crypto asset through securities of U.S. companies with BTC on their balance sheets. These companies may include custodians, crypto exchanges, and traders. The filing specifies that Valkyrie’s ETF may invest up to 10% of its net assets in securities of Bitcoin mining firms, as well as up to 5% in the securities of pooled investment vehicles in the U.S. that hold BTC. At the time of publication, shares of the fund under the ticker VBB are trading for $24.48, having fallen more than 1.5% since launching on Wednesday.Introducing the Valkyrie Balance Sheet Opportunities ETF (Nasdaq: VBB). Launching today on @Nasdaq. Disclosures in bio. pic.twitter.com/YgiyQcDPPW— Valkyrie (@ValkyrieFunds) December 15, 2021Valkyrie’s latest ETF filing follows the firm launching a Bitcoin Strategy ETF in October which offered indirect exposure to BTC with cash-settled futures contracts. Shares of the fund are currently trading on the Nasdaq for $18.70, having fallen roughly 27% since opening on Oct. 22. Though the SEC has given the greenlight to investment vehicles linked to Bitcoin derivatives, including one from Valkyrie and another from ProShares, the regulatory body has yet to approve an application allowing direct investments in crypto. Several crypto ETF applications are still under consideration in the United States, while its neighbor to the north — Canada — has approved BTC ETFs from Fidelity.Related: SEC rejects WisdomTree’s application for spot Bitcoin ETFAccording to data from Cointelegraph Markets Pro, the price of Bitcoin rose above $49,000 today but has fallen more than 30% since reaching an all-time high price of $69,000 on Nov. 9. At the time of publication, the BTC price is $47,736.

Čítaj viac

Získaj BONUS 8 € v Bitcoinoch

nakup bitcoin z karty

Registrácia Binance

Burza Binance

Aktuálne kurzy