Bitcoin ETF: The New Investment Wave of 2024
On December 27, #Bitwise officially filed with the U.S. Securities and Exchange Commission (SEC) to launch a new ETF fund called "Bitcoin Standard Corporations ETF." This is the first investment fund focused on publicly traded companies that hold large amounts of Bitcoin in their treasury, promising to open significant opportunities for investors interested in cryptocurrency.
Investment Company Selection Criteria
To be included in the portfolio of this #etf fund, companies must meet stringent criteria:
Hold at least 1,000 BTC in treasury. Market capitalization over 100 million USD, ensuring scale and stability. Average daily trading volume over 1 million USD, facilitating easy buying and selling of shares. Free float percentage under 10%, ensuring high liquidity.
Unique Weighting Allocation Strategy
Unlike traditional ETFs, Bitwise's new fund will allocate weights based on the value $BTC that each company holds, rather than relying on market capitalization. This approach allows small and medium-sized companies that invest heavily in Bitcoin to have a greater share in the fund, creating opportunities to explore hidden gems in the market.
Representative Companies
Some companies predicted to be included in the fund's portfolio are:
MicroStrategy: A business with a prominent Bitcoin DCA strategy. Tesla: Making headlines with a large investment in Bitcoin. Semler Scientific and Metaplanet: Companies with a history of spectacular revival thanks to Bitcoin.
Strive Bitcoin Bond ETF: A New Investment Strategy
In addition to Bitwise, asset management company Strive is also developing an ETF fund called "Bitcoin Bond ETF," focusing on convertible bonds of companies like #MicroStrategy . The difference here is a non-diversification strategy, which helps the fund optimize profits from Bitcoin-focused businesses while also bringing greater risks.
Bitcoin Accumulation Trend: The Boom of 2024
The year 2024 witnesses a wave of large companies globally accumulating Bitcoin as a long-term financial strategy. A typical example is #metaplanet , a company that had struggled for 7 years but has made a strong comeback thanks to Bitcoin. The stock price of Metaplanet increased 21 times in just one year, becoming a testament to the strength of this strategy.
Conclusion
With the launch of the Bitcoin Standard Corporations ETF, Bitwise not only provides an innovative investment tool but also contributes to the promotion of Bitcoin adoption in traditional finance. The combination of Bitcoin and ETFs promises to open new opportunities while reinforcing the position of cryptocurrency in the global market.