As many of you have heard, the SEC authorized (or rather, did not object to) a bitcoin ETF, and ProShares is set to put one on the market today or tomorrow. What do you all think of this, and what does it mean when the description says that the fund will provide exposure to bitcoin futures contracts as opposed to a direct investment in bitcoin*? I'm mostly familiar with how traditional ETFs work, but I'm not so sure I understand how a bitcoin futures contracts ETF will work. Thank you for your help!
For more info:
https://www.proshares.com/funds/bito.html
https://www.cnbc.com/2021/10/15/the-first-bitcoin-futures-etf-in-the-us-is-set-to-begin-trading-next-week.html
*From the CNBC article:
The ProShares Bitcoin Strategy ETF, which will give exposure to bitcoin futures contracts but not the spot market, will trade under the ticker “BITO.”
Submitted October 18, 2021 at 10:29AM by Charbel33 https://ift.tt/3DR8L6N
