The American provider of Exchange Traded Funds (ETFs), ProShares, confirmed on Monday that its Bitcoin Futures-supported ETF product will be traded on Tuesday on the New York Stock Exchange (NYSE) under the ticker symbol “BITO”.
As stated in the announcement, the ETF product tracks Bitcoin futures and not the digital currency. “We believe that after years of trying to bring a Bitcoin-Linked ETF to the market, a large number of investors have been eagerly awaiting the launch of a Bitcoin-Linked ETF,” said Michael L. Sapir, CEO of ProShares.
“BITO will open exposure to Bitcoin to a large segment of investors who have a brokerage account and who like to buy stocks and ETFs, but do not want to go through the effort and learning curve of setting up another account with a cryptocurrency provider and having a Bitcoin wallet or are concerned that these providers may not be regulated and subject to security risks. “
The approval of ProShares’ Bitcoin ETF product, as reported last week, marked an important milestone for the digital currency industry and ETF products as a whole. The ProShares Bitcoin ETF is the first of its kind in the USA after several rejections by the US Securities and Exchange Commission (SEC).
According to ProShares, the Bitcoin Futures ETF product offers investors the long sought-after opportunity to transparently and conveniently engage in Bitcoin returns via a broker account. BITO can be bought and sold like a share, cancel the account at a Cryptocurrency exchange and for a crypto wallet and all the problems that come with actively investing in Bitcoin.
The anticipation of the launch of BITO has resulted in weeks of Bitcoin price growth. The leading cryptocurrency is trading at $ 61,329.13 at the time of writing, according to data from CoinMarketCap, and posted 7.42% growth over the past week. With today’s launch, an additional rise in the price of BTC won’t come unexpectedly.
The launch is also intended to encourage approval of similar uses for a Bitcoin ETF product, marking a new era when more institutional money will pour into the digital asset class.
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