With Bitwise Asset Management, you get a secure and simple way to gain exposure to the world’s largest cryptocurrency without the hassle of wallets, private keys, or crypto exchanges.
What is BITB?
The Bitcoin Standard Corporations ETF (BITB) is an Exchange-Traded Product (ETP) that offers regulated exposure to bitcoin. Instead of directly owning bitcoin, you invest in BITB, which tracks bitcoin’s price and is managed by a team of crypto specialists. This makes it easy to invest in the cryptocurrency market while avoiding the complexities and risks of direct ownership.
Why Choose BITB for Bitcoin Investing?
Direct Bitcoin Exposure Without the Complexity
Gain exposure to bitcoin, the world’s largest and most established cryptocurrency by market capitalization.
No need for wallets, private keys, or crypto exchanges. BITB simplifies the process while keeping it secure.
Professionally Managed by Crypto Experts
With over six years of experience, Bitwise uses institutional-grade systems for trading, custody, and compliance.
Assets are secured by Coinbase Custody Trust, a trusted name in digital asset protection.
Low Fees for Early Investors
Bitwise has waived sponsor fees for the first $1 billion in assets until July 2024. After that, the fee remains competitive at just 0.20%.
How BITB Works in Practice
Let’s say you’re interested in $BTC but don’t want to deal with wallets or exchanges. Imagine you invest $10,000 in BITB when bitcoin’s market price is $94,454 per BTC (current approximate value as of December 2024):
If bitcoin’s price rises to $120,000 (a 27% increase), the value of your BITB shares also increases by approximately 27%, making your investment worth $12,700.
Conversely, if bitcoin’s price drops to $80,000 (a 15.3% decrease), your investment decreases to $8,470.
This makes BITB a simple and direct way to mirror bitcoin’s performance without managing the cryptocurrency yourself.
Key Features of BITB
Ticker: BITB
Exchange: NYSE Arca
Net Assets: $3.8 billion as of December 2024
Daily Trading Volume: Over 1.5 million shares traded
Custodian: Coinbase Custody Trust Co., LLC
Fee Structure: 0% sponsor fee for early investors, transitioning to 0.20% after July 2024
Why BITB is Great for Traders and Investors
Liquidity You Can Count On
With a daily trading volume exceeding 1.5 million shares, BITB ensures easy entry and exit, making it perfect for both day traders and long-term investors.
Regulated and Reliable
BITB operates on the NYSE Arca, providing a secure environment for your investment. It eliminates the risks associated with unregulated crypto exchanges.
Simple Tax Reporting
Unlike direct bitcoin ownership, investing in BITB aligns with traditional tax structures, making reporting straightforward and less stressful.
What’s the Risk?
While BITB simplifies bitcoin investing, it’s important to note:
BITB is not registered under the Investment Company Act of 1940 and does not have its protections.
Bitcoin remains a volatile asset, and investments can result in significant or total losses.
Understanding the Risks with BITB
For instance, if you invest $5,000 in BITB when bitcoin is valued at $27,000, and the price drops to $20,000 (a 25.9% decline), your investment could shrink to $3,705. However, if bitcoin rebounds to $35,000, your investment value could grow to $6,481—a potential 29.6% gain.
This highlights the potential for significant volatility, and while BITB simplifies the process, understanding market trends and timing is still crucial for minimizing risks and maximizing gains.
Invest in the Future of Bitcoin with Confidence
Bitcoin is reshaping the future of money. With BITB, you can participate in this transformation without the stress of managing crypto directly. Whether you’re a seasoned trader or new to the world of bitcoin, BITB makes investing simple, secure, and accessible.
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