Bitwise Funds Trust - Bitwise Bitcoin Strategy Optimum Roll ETF Price & Performance (BITC)

In early 2024, the SEC approved spot Bitcoin ETFs, allowing funds to directly hold Bitcoin. This decision introduced new investment opportunities, with major players like Fidelity, BlackRock, and Invesco entering the market. These ETFs aim to closely track Bitcoin's price, providing a liquid alternative for cryptocurrency investors.1

The Bitcoin ETF market is witnessing intense competition as issuers engage in a price war. Several funds, including spot and strategy ETFs, have introduced fee reductions and promotional waivers to attract investors. This trend reflects the growing demand and evolving dynamics within the cryptocurrency investment space.1

Concerns over custodianship risk have emerged in the Bitcoin ETF market. Most spot Bitcoin ETFs rely on Coinbase for storage, raising questions about asset safety in case of financial troubles. Exceptions include Fidelity and VanEck, which use alternative custodians. Investors are advised to evaluate these risks when choosing ETFs.1