Odaily Planet Daily News Binance France President David Prinçay said that the US spot Bitcoin ETF is the first tool that enables institutions to easily invest in Bitcoin. He pointed out: "Before the ETF, institutions had an excuse to say: 'We want to expose our retail investors to Bitcoin, but we don't know how to choose the right product, and the trust is not enough.' The emergence of ETFs provides institutions with a tool to integrate these types of products into traditional products." According to Prinçay, before the approval of the ETF, large financial institutions in Europe could not invest in Bitcoin, but now it has changed: Previously, French banks could not invest in Bitcoin; and BNP Paribas invested in BlackRock's spot Bitcoin ETF in the first quarter of 2024. Although the initial investment was only $41,684, which is less than the value of one Bitcoin, Prinçay described the investment as mainly "symbolic." Due to the launch of the spot Bitcoin ETF, Bitcoin is increasingly seen as a financial asset for retirement, even by mainstream investors. “It used to be that only early adopters thought that Bitcoin would be their retirement vehicle,” Prinçay explained. “Now, everyone is thinking about putting 1%, 2%, or maybe 5% of their 401(k) into Bitcoin.” Some large financial institutions, such as Fidelity, allow investors to invest directly in Bitcoin ETFs through their 401(k) retirement plans. In addition, Prinçay added, such investments bring long-term capital, which may help reduce volatility: “A 401(k) is not a traditional transaction like buying and selling stocks every day. It is not a daily trading activity. It is a long-term activity… In terms of security, Bitcoin may become one of the preferred assets in a 401(k).” Despite the promise of introducing more baby boomers to the Bitcoin market, more than 85% of the underlying Bitcoin is held by retail investors, and only 10% is held by hedge funds. Prinçay explained that these retail investors are not just crypto retail investors who previously held Bitcoin in cold wallets, but also retail investors in traditional finance. According to Dune data, since its launch, the US spot Bitcoin ETF has absorbed 4.29% of tokens. (Cointelegraph)