Cathie Wood’s firm, Ark Invest, has announced today that it has sold its entire stake in the Grayscale Bitcoin Trust (GBTC) and has instead invested over $100 million in the new Bitcoin futures ETF, BITO. BITO, which stands for Bitcoin Indexed Tracking Obligation, allows investors to gain exposure to the world’s most valuable cryptocurrency without requiring the creation of an account with an exchange. The fund, managed by iShares (BlackRock), is currently trading on the New York Stock Exchange (NYSE).
The move is a significant sign of confirmation on Bitcoins increasing acceptance. It also sets the precedent for other institutional and retail investors to look into investing in the cryptocurrency through easily accessible ETFs.
The move by Ark Invest also bucks the trend of other institutional investors that are focused on diverting funds to bitcoin derivatives, such as options and ETFs. It reaffirms Ark Invest’s confidence in the cryptocurrency.
The belief in the future of cryptocurrency is also reflected in nation-states, such as China, which has announced its plans to launch a sovereign cryptocurrency.
As the crypto industry evolves, it is essential for institutional investors to identify where the future lies and how they can capitalize on this emerging asset class.
