- Schwab is considering launching a spot Bitcoin ETF after the success of rivals like Fidelity’s FBTC. Analysts predict their low fees and large client base could shake up the game.
- While Vanguard remains firmly against Bitcoin ETFs, calling it “more speculation than investment,” others foresee creative new funds entering the market with exposures beyond just Bitcoin.
- The future of Bitcoin ETFs remains exciting, with potential new entrants and innovative strategies in the pipeline.
With Vanguard reiterating no Bitcoin ETF plans, the spotlight turns to Schwab, whose $320 billion ETF arm is seen as a prime candidate to enter the fray. While they lack their spot Bitcoin ETF, Schwab allows trading of rivals like Fidelity’s FBTC, which raked in nearly $2 billion since its launch. This success, some say, could push Schwab to “file something sooner rather than later.”
Fidelity’s (FTBC) Bitcoin fund got $1.9 billion, inflows since launching in January but just a smidge behind BlackRock’s fund of almost $2.2 billion.
Analysts point to Schwab’s history of disrupting markets with low fees and their massive 30 million active brokerage accounts.
“They’re never first to market, but they make a big impact,” remarked Bloomberg Intelligence’s Eric Balchunas.
Others like Nate Geraci of The ETF Store see Schwab’s entry as a “foregone conclusion.”
However, Schwab remains tight-lipped. They refuse to comment on speculation, only stating they’re,
“Learning and hearing from investors” about Bitcoin ETF needs. This cautious approach contrasts with Vanguard’s blunt dismissal of Bitcoin as “more of a speculation than an investment.”
Vanguard has declared a firm ‘no thanks’ to spot Bitcoin ETFs.
With ten spot Bitcoin ETFs already trading, excitement remains high. While Balchunas and Geraci predict Schwab’s jump, others like Sumit Roy of ETF.com believe new entrants will focus on “creative funds” with exposures beyond just Bitcoin.
“But I do expect that there will be more creative funds that add other types of exposures on top of just Bitcoin.” He added.
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