Why a Bitcoin ETF Could Be Important
By Charles Hayter, CEO & Co-Founder at CryptoCompare
Several applications for a Bitcoin (BTC) exchange-traded-fund (ETF) have been sent to the US Securities and Exchange Commission (SEC) for review and approval. With the introduction of Bitcoin ETFs, there’s a good chance that cryptocurrencies could be added to the mainstream investor’s portfolio. Institutional investors prefer to trade and hold regulated assets and crypto ETFs could encourage them to invest in digital assets.
This may increase the demand on the underlying crypto asset and drive the price up, and it is clear that with the CME Bitcoin futures making record highs in volume this month that demand for regulated bitcoin exposure is strong.
Market Capitalisation / Number of Digital Assets
Source: MV Index Solutions.
About the Author:
Charles Hayter is CEO & Co-Founder at CryptoCompare. Founded in 2014, CryptoCompare is a global cryptocurrency market data provider, giving institutional and retail investors access to real-time, high-quality, reliable market and pricing data on 5,300+ coins and 240,000+ currency pairs.
The article above is an opinion of the author and does not necessarily reflect the opinion of MV Index Solutions or its affiliates.