Updated:
We sometimes use affiliate links in our content, when clicking on those we might receive a commission – at no extra cost to you. By using this website you agree to our terms and conditions and privacy policy.
Don’t invest unless prepared to lose all the money you invest. This is a high-risk investment, you shouldn’t expect to be protected if something goes wrong.
Join Our Telegram channel to stay up to date on breaking news coverage
The Ethereum ETF (exchange-traded fund) market has more potential than that for spot Bitcoin ETF investment vehicles because the ETH network also offers staking rewards.
That’s according to Pranav Kanade, a portfolio manager with fund management giant VanEck.
“The world of investors who are looking for cash-producing assets is massive and ETH obviously generates fees that goes to the token holders,” Kanade told CoinDesk. “Even if you don’t have an ETF that can offer staking as a part of it, it’s still a cash-producing asset, so I think ETH could make more sense as an asset to more people than Bitcoin does.”
Ethereum ETF Viability Questioned
Kanade’s prediction comes amid speculation that Ethereum ETFs will not allow staking rewards to be distributed to ETF investors.
The portfolio manager acknowledged this potential shortcoming, but said that Ethereum ETFs are “still a cash producing asset” regardless of whether they pay out staking rewards to investors directly.
This could be “massive” for “investors who are looking for cash producing assets,” he said.
Spot Bitcoin ETF Activity Spikes Again
The ten spot Bitcoin ETFs that launched in the US have already recorded $10 billion inflows in just two months. Trading volumes for these investment products have also surged.
The collective volumes of the US spot Bitcoin ETFs have this month already surpassed figures recorded in January and February, according to Bloomberg ETF analyst Eric Balchunas.
Here’s monthly volume for the ten btc ETFs. March is only half over but has already smashed the numbers from Feb and Jan w/ $65b. pic.twitter.com/UpZ6pFgQgt
— Eric Balchunas (@EricBalchunas) March 14, 2024
Meanwhile, VanEck’s spot Bitcoin ETF, HODL, saw its trading activity jump to $258 million after it announced it would reduce all sponsor fees to zero for the first $1.5 billion invested in its ETF.
Related Articles:
New Crypto Mining Platform – Bitcoin Minetrix
- Audited By Coinsult
- Decentralized, Secure Cloud Mining
- Earn Free Bitcoin Daily
- Native Token On Presale Now – BTCMTX
- Staking Rewards – Over 50% APY
Join Our Telegram channel to stay up to date on breaking news coverage
