Waiting for a Bitcoin ETF? No, institutions want BTC right away

A BTC ETF that has become a non-event – With the launch of the first futures contracts (futures) on Bitcoin CME and CBOE scholarships in december 2017, the cryptosphere was in turmoil. The industry already then expected to see the king of cryptos get a exchange traded fundWhere AND F (exchange-traded fund). But no ETFs directly based on it have ever come along since. The very wealthy investors don’t wait any longer now, and prefer to have hard and cold BTC anyway.

More than half of institutional investors prefer Bitcoin to a BTC ETF

Even though the Securities and Exchange Commission (SEC) of the United States eventually accepted Bitcoin ETFs based on derivatives since October 2021, these have been settled in dollars Americans. None are based on an underlying of real BTC, Spot ETFs.

But obviously, whether or not the SEC wakes up to validate this type of ETF one day, it will not change much for a majority of institutional investors. In any case, this is what emerges from a recent report GlobalData analysts.

Indeed, wealthy investors, or HNW (high-net-worth) are finally globally more interested in direct purchases of cryptocurrencies, rather than going through an ETF. In Asia-Pacific, Europe, North America and India, these HNW investors are even more than 70% to prefer direct crypto-investments, rather than ETFs.

Percentage of wealth managers preferring cryptos to crypto ETFs. – Source:

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Wealthy investors already have 1.4% of their investments in cryptos

Sergel WoldemichaelSenior Wealth Management Analyst at GlobalData, first comments on the data in the report:

“Players who focus solely on crypto ETFs miss this: a significant portion of wealthy investors prefer to buy crypto-assets directly. GlobalData’s 2022 survey (…) revealed that the majority of HNW investors (…) are aware of the risk involved in investing in cryptos. But feel comfortable buying them outright, rather than choosing the safer option of ETF funds. »

Another interesting element of this report, the “zinzins” (nickname for intentional investors) did not actually not expected an ETF to get interested in – and invest – in Bitcoin and its ilk. Indeed, HNW investors would already hold, on average, 1.4% of their wealth in crypto-assets.

“(…) the GlobalData survey found that the average portfolio of global HNWs is made up of 1.4% cryptocurrencies. Even though demand is expected to increase in the future, investors are not yet willing to let cryptocurrencies take up too much of their portfolio. »

As late as September 2022, remember that the giant funds Charles Schwab and Fidelity Investmentsrespectively $8.1 trillion and $4.5 trillion in assets under management – have sponsored their own crypto exchange with other goofs: EDX Markets (EDXM). Further proof that wealthy investors won’t wait that the SEC validates a hypothetical BTC spot ETF.

The time for Bitcoin interest has come. And you, what are you doing to prepare for the future? Start to familiarize yourself with this exciting world. wait no longer for you create an account on Binancethe reference Bitcoin and crypto exchange (commercial link).

John R. Zepeda

I have extensive experience working as a content writer in the areas of cryptocurrencies and finance, where I create interesting pieces that both inform and engage their audiences.

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