For traditional market investors, cryptocurrencies can be overwhelming on account of the volatility in their prices and fast-changing sentiments that can result in swift profits or losses.
However, given the rising levels of crypto adoption and the importance of cryptocurrencies in a Web3 future, an increasing number of investors are raring to participate in this asset class.
Exchange traded funds (ETFs), which track a particular index, sector, commodity, or other asset, offer the best of both worlds. A few Bitcoin ETFs that have cropped up allow access to cryptocurrencies without the hassle of storing or securing crypto tokens through an online or hardware wallet.
The concept was introduced by ProShares Bitcoin Strategy ETF (BITO) in October 2021 and attracted investments of almost $1 billion in the first few days.