The approval of spot Bitcoin ETFs in January was one of the biggest moves in crypto this year, with funds generating a surge in demand for BTC. However, eight months after their launch, interest in those products appears to be waning.<\/p>\n
In a recent post<\/a> on X, Jim Bianco, the CEO of Bianco Research, stated that Bitcoin ETFs have failed to live up to their pre-launch hype. He pointed out that the assets in all 11 US spot Bitcoin ETFs have plummeted since reaching a peak of $62 billion in June.<\/p>\n According to Bianco\u2019s charts, the cumulative assets under management (AUM) of all Bitcoin ETFs are valued at $46 billion, which is the lowest in over four months. With the increase in outflows<\/a>, ETF holders are currently sitting on a whopping $2.2 billion unrealized loss.<\/p>\n Bianco stated that contrary to the popular belief that Bitcoin ETFs would drive mainstream BTC adoption by traditional finance (TradFi) investors, the funds have received \u201cvery little new money.\u201d Instead, a majority of the recorded inflows were from \u201conchain holders moving back to TradFi accounts.\u201d<\/p>\n He noted that the investment giant BlackRock has confirmed the limited presence of financial advisors in the Bitcoin ETF space. Earlier in June, BlackRock\u2019s chief investment officer for index investments, Samara Cohen, said<\/a> that about 80% of Bitcoin ETF purchases have been made by self-directed investors using online brokerage accounts.<\/p>\n \u201cSo far these instruments have not lived up to the hype of \u2018here come the boomers.\u2019 Very few have come, and those that have are holding losses and may now be leaving ($1B outflows over the last 8 days),\u201d he noted.<\/p>\n Bianco further pointed out that Bitcoin ETFs still have the potential to drive TradFi adoption, however, a few things are needed before the market booms.<\/p>\n He speculates that the next Bitcoin halving, which will occur in 2028, and significant development of on-chain tools across DeFi, NFTs, and more will likely drive the adoption of Bitcoin ETFs.<\/p>\n \u201cPatience and another couple of seasons, including a winter or two, and development breakthroughs are needed first,\u201d Bianco concluded.<\/p>\n The post Bitcoin ETFs Are \u2018A Small Tourist Tool,\u2019 Not TradiFi Adoption Vehicle: Bianco Research CEO<\/a> appeared first on CryptoPotato<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" The approval of spot Bitcoin ETFs in January was one of the biggest moves in crypto this year, with funds generating a surge in demand for BTC. However, eight months after their launch, interest in those products appears to be waning. In a recent post on X, Jim Bianco, the CEO of Bianco Research, stated […]<\/p>\n","protected":false},"author":0,"featured_media":5070,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-5069","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/5069"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=5069"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/5069\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/5070"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=5069"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=5069"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=5069"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Not a TradFi Adoption Vehicle \u2013 Yet?<\/h2>\n
Bitcoin ETFs Need More Time<\/h2>\n