Posted 3/18/2024, 4:05:00 PM
Retail Investors Fueling Demand for New Bitcoin ETFs, Drawn by Simplicity and Low Barriers to Entry
- Data suggests retail investors are driving most demand for new spot bitcoin ETFs based on small average trade sizes
- BlackRock's IBIT bitcoin ETF is seeing over 250,000 trades per day with an average trade size of $13,000, signaling retail activity
- VanEck agrees demand seems driven more by individual investors than institutions in early days of bitcoin ETF trading
- ETFs make it easier for retail investors to gain bitcoin exposure without holding the asset directly
- BlackRock's first-mover advantage with IBIT has helped it attract over $14 billion in assets so far, aided by strong brand and low fees