The ProShares Bitcoin Strategy ETF, the first Bitcoin-linked exchange-traded fund in the United States, debuted on Tuesday. The fund, denoted by the sign BITO, rose as much as 5.4 percent to $42.15 before reversing direction. In the first 20 minutes of trading, almost 6.4 million shares of BITO worth $264 million changed hands. The futures-based Bitcoin ETF may attract more than $50 billion in inflows in its first year.
According to Tom Lee, Co-founder of Fund-strat Global Advisors. Analysts anticipate launches from companies such as Valkyrie, which will launch a Bitcoin Strategy exchange-traded fund on Wednesday. The Bitcoin Futures Trust (BITO) has requested that GBTC, the world's largest Bitcoin fund, be converted into an exchange-traded fund (ETF).
The Securities and Exchange Commission will not prevent the establishment of a Bitcoin futures-backed fund. The VanEck Social Sentiment fundraised more than $400 million in its initial public offering earlier this year. The SPDR (Standard & Poor's Depository Receipt) Gold Shares fund surpassed $1 billion in assets under management at the fastest rate in history.