With the financial market racing to gain popularity, the share market is also at its back to support it. These days, you might have heard of the term Bitcoin ETFs more often. With the rising popularity of Bitcoin and other crypto coins, it is for sure that almost everyone has the slightest knowledge of it. As every market offers some top choices for users, the crypto financial market also has top Bitcoin ETFs to buy in 2024.
Moreover, the Blackrock Bitcoin ETF incident that has shaken the financial market adds to its popularity. As a crypto enthusiast, I find crypto ETF exciting. Now, you might find this awkward as to how a financial tool can be exciting. To me, ETFs are the tool that makes crypto coins more approachable for investors and regulators.
The best Bitcoin Spot ETFs that can be a good buy in 2024 are Valkyrie Bitcoin Strategy (BTF), ProShares Bitcoin Strategy ETF (BITO), ProShares Short Bitcoin ETF (BITI), Simplify Bitcoin Strategy PLUS Inc ETF (MAXI), and VanEck Bitcoin Strategy ETF (XBTF).
To know more about the details of the top Bitcoin ETFs mentioned, keep scrolling through the article so that you do not miss out on any updates.
Table of Contents
What Is A Bitcoin ETF?
ETF or exchange-traded fund is a type of exchange-traded product or investment fund that tracks the price of an asset. Hence, a Bitcoin ETF is a fund that tracks the price movement of Bitcoin. This allows the investors to buy crypto coins without directly dealing with Bitcoin.
There are different types of Bitcoin ETFs, including spot bitcoin ETFs, bitcoin futures ETFs, and bitcoin strategy ETFs. A spot bitcoin ETF tracks the current price of Bitcoin while the futures ETF invests in the future contracts of Bitcoins. A bitcoin ETF uses various investment strategies, including investment in companies with significant Bitcoin holdings.
The Top 5 Bitcoin ETFs To Invest in 2024
As every market has its showstopper, the crypto market has the top five Bitcoin ETFs, which are the competing ones in the year 2024. So, if you are also interested in purchasing Bitcoin ETFs this year, check the ones listed below.
1. Valkyrie Bitcoin Strategy (BTF)
The Valkyrie Bitcoin strategy is an exchange-traded fund, one of the ancient ETFs available for investors in the market. It is an actively managed fund with an expense ratio of 0.95%. Currently, BTF is not the biggest ETF in the market.
The ETFs also hold $30 million in assets under their management. The investing strategy of funds of this ETF depends on spending as much as on Bitcoin futures, with extra assets being held in corporate bonds, US government securities, and money market funds. Also, BTF can be purchased through NASDAQ.
2. ProShares Bitcoin Strategy ETF (BITO)
ProShares Bitcoin strategy is the first Bitcoin ETF sanctioned by the US market for trading purposes. This ETF entered the market in October 2021. Currently, the ETF holds $1 billion in assets under management with an expense ratio of 0.95%.
It is an actively managed fund that can also hold cash and treasury securities. Furthermore, it can be brought through a brokerage account or being sold.
3. ProShares Short Bitcoin ETF (BITI)
ProShares’ short bitcoin ETF is a bit different from ProShares’ Bitcoin Strategy ETF as the short ETF relies on the inverse daily performance of Bitcoin. The total assets this ETF currently holds are approximately $130 million. Additionally, you can consider this ETF as BITO’s little cousin in age and size. BITI was launched into the financial market in 2022 with an expense ratio of 0.95%.
4. Simplify Bitcoin Strategy PLUS Inc ETF (MAXI)
The Simplify Bitcoin Strategy PLUS Inc ETF (MAXI) is a well-known ETF that aims to generate income directly from Bitcoin’s growth. Besides this, it also earns money from selling different types of deals based on the famous global stock indices. Just like any other fund, this ETF uses bitcoin futures rather than investing directly in BTC. MAXI has an expense ratio of 0.97%, and its total assets at the present day are worth $20 million.
5. VanEck Bitcoin Strategy ETF (XBTF)
The bank’s bitcoin strategy is just like a follower of ProShares’ bitcoin strategy ETF. This ETF was launched and sanctioned just a month after the ProShares Bitcoin Strategy launched. Like any other fund, this ETF also focuses on bitcoin futures. XBTF is an ETF that uses a tax-efficient corporation structure with an expense ratio of 0.76%. The total value of assets under management is over $40 million and 65.95% returns.
Final Words
So traders, investors, regulators, and share market enthusiasts, hoping that I could explain every single detail nicely, we come towards the end of the article. As ETFs are a more secure way of investing in the market, I hope you will go by this option once and let me know
