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Want to Invest in the First-Ever U.S. Bitcoin ETF? 11 Things for Potential BITO Investors to Know

Investors that want to invest in Bitcoin (CCC:BTC-USD) without buying the crypto directly can start looking toward the first ETF.

Here’s all the recent news investors need to know about Bitcoin ETFs.

  • Recent reports claim that the U.S. Securities and Exchange Commission (SEC) isn’t going to get in the way of a Bitcoin Futures ETF from ProShares and Invesco.
  • If so, that would open the way for the first Bitcoin ETF and could have others following suit.
  • This futures ETF will allow investors to jump in on the crypto hype without directly holding BTC.
  • So why would traders want to hold a stake in a Bitcoin futures ETF rather than the crypto?
  • A futures ETF isn’t based directly on the value of the asset it represents.
  • As a result, its price can fluctuate higher and lower.
  • That means that traders might be able to get in at a lower price than BTC during a fall and sell at a higher rate during a rally.
  • On that same note, additional costs that come with an ETF mean it will likely be more expensive to invest in than just buying BTC.
  • However, the risk of loss is still strong as an investment in an ETF won’t protect traders from fluctuations in Bitcoin prices.
  • Bitcoin has been on the rebound lately as the price of the crypto soars higher.
  • This has it trading in the $61,000 range, which is approaching the cryptos’ all-time high of $64,863.10.

Crypto traders looking for more news today will want to stick around a little longer!

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