In simple words, what is BTC-ETF?

An ETF is an investment fund whose shares are traded on traditional exchanges (Nasdaq, NYSE, etc.). Essentially, this is a security that confirms its owner’s right to part of the fund’s assets.

Spot BTC-ETF is a fund that invests directly in Bitcoin, but does not require wallet registration and self-storage of cryptocurrency (which is very convenient and safe for retail investors).

When you invest in a BTC ETF, you are buying shares of a fund that tracks the price of Bitcoin.

Liquidity

BTC-ETF will be able to attract millions of potential investors and multi-billion-dollar capital into the cryptocurrency. If demand for the asset increases, funds will have to buy more BTC to issue more shares.

Regulation

ETF shares are regulated under securities laws. The procedure for their issue, circulation and redemption is established by law. This means that investors receive more guarantees than when interacting directly with BTC.

❗️The history of spot Bitcoin ETFs in the USA (more precisely, attempts to launch them) has been going on for 10 years. The first attempt was in 2013. There are a total of 28 attempts until 2023.

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