CoinGecko has unveiled the extent of Bitcoin’s infiltration into the world of Exchange-Traded Funds (ETFs). CoinGecko’s recent report, based on data from Bloomberg, BuyBitcoinWorldwide, and public sources as of December 22, 2023, paints a comprehensive picture of the current landscape.
ETFs globally collectively hold approximately 793,034 BTC, representing a modest 3.8% of the maximum 21 million BTC supply. This intriguing insight into the distribution of the world’s most valuable cryptocurrency comes as the digital asset continues to establish its presence in traditional financial instruments.
Top Players In The Bitcoin ETF Realm
The study categorizes two main groups: BTC futures and spot ETFs or Exchange-Traded Products (ETPs). XBT Provider’s Bitcoin Tracker One (COINXBT) emerges as the undisputed champion in the ETF realm, boasting a staggering $7.11 billion in total assets. This Swedish-born pioneer, launched in 2015, not only holds the title for the largest BTC futures ETF but reigns supreme as the overall top crypto ETF.
Hot on COINXBT’s heels are ProShares Bitcoin Strategy ETF (BITO) and Purpose Bitcoin ETF (BTCC), securing the second and third positions with $1.64 billion and $1.55 billion in total assets, respectively. Germany’s ETC Group Physical Bitcoin (BTCE) is the lone ranger, surpassing the billion-dollar mark in total assets.
Interestingly, the study reveals a significant divide in investor preferences between spot and futures ETFs. While 14 spot Bitcoin ETFs clinch spots in the top 20 rankings, their combined assets contribute only 38.5%. Meanwhile, the six BTC futures ETFs represent a dominant 61.6% of the cumulative assets, suggesting a pronounced inclination toward derivatives in the traditional financial sector.
Despite the impressive figures, the total assets of the top 20, ranging from $54.86 million to $7.11 billion, fall short when measured against Grayscale Bitcoin Trust’s towering $27.14 billion total assets. This striking revelation raises questions about the dynamic between institutional investors and traditional financial instruments in the broader cryptocurrency landscape.
Notably, GBTC takes center stage with an awe-inspiring 622,657 BTC, surpassing the combined holdings of all other ETFs worldwide by over threefold. However, its potential conversion from a close-ended unit trust to an ETF is pending SEC approval.
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