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- Bitcoin ETF by ProShares seems like a clear winner
- Considering both the growth and the distribution of the ETF’s AUM, BITO is a clear winner in the financial market
- BITO’s inflows for the week ending November 19, 2021, were more than $107 million
- Since establishment BITO has seen its AUM growing by more than 147% indicating the high demand for such products
Bitcoin ETF or exchange-traded funds were in demand for several years in the United States. However, this year the financial regulators approved the first crypto-based ETF in the nation. Indeed, after receiving the green signal from the US Securities and Exchange Commission (SEC) ProShares’ BITO BTC product began to trade on NYSE. Following the scenario, firms also began to file for spot-based ETF. However, the recent rejection of VanEck’s proposal has dampened the hopes of several traders. However, after taking a closer look it is noted that ProShares’ BITO is a clear winner.
Future-based Bitcoin ETF is winning
Arcane Research has recently taken a closer look at ProShares’ future-based Bitcoin ETF. It is observed that while considering both the growth and the distribution of the product’s Assets Under Management (AUM), BITO is a clear winner in the financial market.
According to recent data issued by CoinShares, it is noted that BITO’s inflows for the week ending November 19, 2021, were more than $107 million. Notably, the financial instrument saw more than 90% of inflows into the flagship crypto asset.
BITO’s performance since establishment
Explaining the performance of BITO, Arcane Research underscored that BITO has become a very popular instrument that continues to gain more traction. Since the launch of the crypto-based product, it has already seen a 12% growth in shares outstanding, increasing their exposure from 4177 CME contracts to 4840 CME contracts.
Moreover, it is also noteworthy that since establishment, the digital financial instrument has seen its AUM growing by more than 147% indicating the high demand for such products.
Will BITO continue as the king?
After rejection VanEck planned to rejoin the game with a future-based ETF. According to Arcane Research, VanEck’s product is yet to gain any traction, as it currently holds 30 November contracts and their holdings have remained unchanged since establishment.
Noting the upcoming product of Valkyrie, Arcane Research notes that a reduction in activity. The report highlighted that, since the launch, the fund’s AUM has seen a growth of over 50% but the fund only holds 3.9% of the assets. Moreover, since the beginning of this month it has been observed that the fund has increased its CME contract exposure to just 197 from 163 contracts.
Although there are a number of applications filed with regulators pending review, it seems premature to declare BITO as the winner.