Cryptocurrency exchange-traded funds (ETFs) have earned their spot as one of the top investment options to pursue after stocks, according to a recent study from Charles Schwab. The study found that 45% of all ETF investors plan to invest in crypto products, outpacing bonds.
This growing interest in crypto ETFs is particularly high among millennial investors, with the digital asset actually surpassing stocks as the most preferred investment vehicle. As many as 62% of millennial ETF investors indicated their intention to include cryptocurrencies in their portfolios.
The popularity of crypto ETFs is not theoretical; their relative popularity is reflected in actual market performance. Of the approximately 400 new ETFs to be launched in 2024, virtual currency products account for the majority of success stories.
Eric Balchunas, an ETF analyst at Bloomberg Intelligence, called the findings “very surprising” and how unexpected the preference for cryptocurrencies over bonds, international stocks and alternative currencies is. I emphasized that.
BlackRock's iShares Bitcoin Trust (IBIT) led the way this year, attracting nearly $21 billion in inflows through August. Fidelity's Wise Origin Bitcoin Fund (FBTC) was next with nearly $10 billion in net inflows, while ARK 21Shares Bitcoin ETF (ARKB) and Bitwise Bitcoin ETF Trust (BITB) each had around $20 billion in net inflows. billion dollars has been flowing into the country.
With such clear market demand, some existing players remain on the sidelines. Nate Geraci, president of The ETF Store, said it's ironic that Schwab has this data and hasn't launched a spot crypto ETF yet, but perhaps it's more important than traditional investment firms. said the outcome could be different.
