Pascal Abams⭕
Pascal Abams⭕ 1 minutes reading from Bitcoin

Comparing the ProShares Bitcoin ETF and the SEC on the Blockchain?

1/ in hindsight, what seemed like the last push towards a peak in BTC price about a year ago, was fueled by the launch of the first US futures-based ETF for Bitcoin – ProShares BITO. BITO became the fastest ETF ever to reach 1b AUM, just two days after launch.

btc bitcoin

2/ the enthusiasm has faded as the SEC still hasn't approved a spot bitcoin ETF, leading @Grayscale to sue the SEC for rejecting their proposal to turn it into an ETF. well, let's evaluate how good/bad the futures-based ETF has fared.

3/ 1st anniversary of the ProShares BITO (long Bitcoin )ETF!

how have things evolved in the past year?

to everyone's surprise, BITO has underperformed btc by 1.79%. a year ago, estimates were that its annualized rolling costs would turn out to be 13%.

4/ as of dec. 3rd, 2021, BITO was underperforming by 2.8%, this shows that the tables turned in 2022, and the rolling cost has been to the benefit of investors.

while reaching an ATH on august 3rd, ProShares long BTC ETF (BITO) how holds approximately 32,250 BTC.

5/ following ProShares, VanEck and Valkyrie also launched their futures-based ETF and hold exposure equivalent to 1075, and 1095 BTC respectively.

6/ ProShares is the go-to for futures-based ETFs. ProShares also launched a short Bitcoin ETF (BITI), which holds a short exposure of 4525 BTC.

This post is based on this twitter thread.


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