Everything you need to know on Bitcoin ETFs January 11, 2024

Everything you need to know on Bitcoin ETFs

Bitcoin is evolving, and here’s the latest buzz is about its listing of 11 spot ETFs.

Here’s the upcoming listings of 11 spot ETFs as of 11 Jan 2024:

Name Ticker Issuer Mgmt Fee (before waiver) Mgmt Fee (after waiver) Waiver Details Exchange
Bitwise Bitcoin ETP Trust BITB Bitwise 0.20% 0% 6 months or $1 billion NYSE
ARK 21Shares Bitcoin ETF ARKB ARK Invest & 21Shares 0.21% 0% 6 months or $1 billion CBOE
Fidelity Wise Origin Bitcoin Trust FBTC Fidelity 0.25% 0% Until July 31, 2024 CBOE
WisdomTree Bitcoin Trust BTCW WisdomTree 0.30% 0% 6 months or $1 billion CBOE
Invesco Galaxy Bitcoin ETF BTCO Invesco & Galaxy 0.39% 0% 6 months or $5 billion CBOE
Valkyrie Bitcoin Fund BRRR Valkyrie 0.49% 0% 3 months Nasdaq
iShares Bitcoin Trust IBIT BlackRock 0.25% 0.12% 12 months or $5 billion Nasdaq
VanEck Bitcoin Trust HODL VanEck 0.25% 0.25% n/a CBOE
Franklin Bitcoin ETF EZBC Franklin 0.29% 0.29% n/a CBOE
Hashdex Bitcoin ETF DEFI Hashdex 0.90% 0.90% n/a NYSE
Grayscale Bitcoin Trust (conversion) GBTC Grayscale 1.50% 1.50% n/a NYSE

Correct as of 11 Jan 24

This article aims to give you the facts and insights into the hotly discussed Bitcoin ETFs.

Let’s look back on the development of Bitcoin to today’s US SEC approval of Bitcoin spot ETF together!

Brief History of Bitcoin & Cryptocurrency

2008: An individual named “Satoshi Nakamoto” introduces the concept of Bitcoin.
2009:The Bitcoin network goes live, and mining of the first block occurs.
2010:Bitcoin sees its first documented transaction.
2011: Other alternative cryptocurrencies emerge.
2013: Bitcoin value reaches US$1,000 for the first time.
2014: The collapse of a significant cryptocurrency exchange, Mt Gox, shifts focus to alternative cryptocurrencies.
2017: Bitcoin price approaches US$20,000 but drops around 75% in value by year- end.
2018: A significant market downturn affects Bitcoin’s value.
2020: Despite wide fluctuations, Bitcoin’s value sees considerable growth.
2021: Bitcoin achieves a new price milestone of US$69,045. Regulatory bodies approve crypto-related products, despite a 64% drop in value.
2022: The crypto sector sees increased institutional interest and a growth in decentralized finance and digital collectibles.
2023: Blockchain technology advances. Countries explore digital fiat currencies.Regulatory scrutiny of cryptocurrencies intensifies.
2024: On 10 Jan 2024, the SEC approves 11 spot Bitcoin ETFs, marking a significant step in integrating cryptocurrencies into mainstream finance. However, concerns about Bitcoin’s volatility remain.

Background and Significance of Bitcoin Spot ETFs

Bitcoin Spot ETFs mark a pivotal advancement in the realm of cryptocurrency investment. These Exchange-Traded Funds provide investors with the opportunity to gain exposure to Bitcoin’s value without the need of direct ownership. Initially, Bitcoin investment was accessible through futures-based ETFs like BITO, which invested in Bitcoin futures contracts, focusing on future prices. Subsequently, trust-based ETFs such as GBTC emerged, holding actual Bitcoin for indirect ownership, simplifying the investment process.

The latest stride forward is the introduction of spot ETFs. Unlike futures-based ETFs, spot ETFs hold actual Bitcoin, allowing them to more accurately reflect the cryptocurrency’s real-time market price. This development is similar to the introduction of gold ETFs in the early 2000s, which simplified and broadened access to gold investment. Bitcoin spot ETFs allow easy investment through a brokerage account, making Bitcoin more accessible to a wider audience.

Pros and cons of ETF for Bitcoin:


1. Increased Accessibility:
A Bitcoin spot ETF makes investing in Bitcoin accessible to anyone with a brokerage account.

2. Lower Cost:
Investing in ETFs is generally more cost-effective. For example; investing in a Gold ETF incurs lower cost compared to physically buying and holding gold.

3. Diversified Portfolios:
Investors can diversify their portfolios without the need to directly purchase Bitcoin.

4. Regulated Framework:
Spot ETFs provide a more regulated investment environment

5. Enhanced Liquidity:
They increase the liquidity of Bitcoin investments by potentially attracting more market participants to the stock exchange


1. Limited Exposure:
Investors only gain exposure to Bitcoin’s price, rather than a diversified portfolio of cryptocurrencies

2. Market Volatility:
Bitcoin’s price exhibits high volatility, which may not be suitable for everyone.

3. Regulatory Challenges:
The legal status of cryptocurrency is still evolving, posing potential risks.

4. Uncertain Future:
The long-term utility and acceptance of Bitcoin remain uncertain.

5. Lack of Asset Backing:
Unlike traditional investments such as stocks or real estate, Bitcoin lacks intrinsic value or physical backing, This characteristic makes it more speculative and dependent on market sentiment

Trading Bitcoin ETFs

Trading Bitcoin ETFs involves following certain rules, like completing the Customer Account Review (CAR), Risk Warning Statements and W8 Form (for US market trading). These steps ensure investors understand the risks and know what they’re getting into.


The introduction of 11 spot Bitcoin ETFs marks a significant evolution in the cryptocurrency investment landscape. These ETFs provide investors with a new avenue to gain exposure to Bitcoin’s price movements without direct ownership of the cryptocurrency. They signify a growing interest in integrating digital currencies into traditional financial systems and provide a regulated and potentially more accessible investment option.

However, it’s crucial to acknowledge the risks associated with Bitcoin’s inherent volatility and the uncertain regulatory environment surrounding cryptocurrencies. While Bitcoin spot ETFs represent a notable innovation, they also inherit the complexities and speculative nature of the underlying asset.

Investors must carefully consider these factors and conduct thorough research to understand the implications of investing in these ETFs. The decision to invest should be based on individual financial goals, risk tolerance, and a comprehensive assessment of the market environment.

What to do next

Stay informed and connected. Ask questions on POEMS Mobile 3 “All About ETFs” community.


Additional Risk Disclosure Statement for Payment Token Derivatives (“PTDs”)

Trading in PTDs such as cryptocurrency funds or ETFs, cryptocurrency CFDs or debentures that reference payment tokens carries a high level of risk. The Customer may risk losing all the Customer’s capital or more. The Customer must therefore be fully aware of the following risks associated with both derivatives and payment tokens/cryptocurrencies and carefully assess whether an investment in PTDs or cryptocurrencies is suitable for the Customer’s investment objectives and risk appetite:

  1. Cryptocurrencies are not legal tender and are not issued by any government nor backed by any asset or issuer. Cryptocurrencies are currently not subject to any regulatory requirements or supervisory oversight by the Monetary Authority of Singapore (MAS). Hence the safeguards afforded under MAS’ regulatory framework may not apply to consumers dealing with unregulated products;
  2. Cryptocurrencies have little or no intrinsic value, making them hard to value and are extremely volatile. Being highly speculative, investing in them entails high risk as prices are prone to sudden sharp swings as a result of unanticipated events or changes in market sentiments primarily due to the lack of price transparency;
  3. Liquidity may also become limited and price gaps may occur in such circumstances;
  4. Cryptocurrency exchanges, where cryptocurrencies are bought and traded, may be susceptible to cyber security breaches. In the event of a cyberattack and theft of cryptocurrencies, it may result in drastic, adverse price movements.


These commentaries are intended for general circulation. It does not have regard to the specific investment objectives, financial situation and particular needs of any person who may receive this document. Accordingly, no warranty whatsoever is given and no liability whatsoever is accepted for any loss arising whether directly or indirectly as a result of any person acting based on this information. Opinions expressed in these commentaries are subject to change without notice. Investments are subject to investment risks including the possible loss of the principal amount invested. The value of the units and the income from them may fall as well as rise. Past performance figures as well as any projection or forecast used in these commentaries are not necessarily indicative of future or likely performance. Phillip Securities Pte Ltd (PSPL), its directors, connected persons or employees may from time to time have an interest in the financial instruments mentioned in these commentaries. Investors may wish to seek advice from a financial adviser before investing. In the event that investors choose not to seek advice from a financial adviser, they should consider whether the investment is suitable for them.

The information contained in these commentaries has been obtained from public sources which PSPL has no reason to believe are unreliable and any analysis, forecasts, projections, expectations and opinions (collectively the “Research”) contained in these commentaries are based on such information and are expressions of belief only. PSPL has not verified this information and no representation or warranty, express or implied, is made that such information or Research is accurate, complete or verified or should be relied upon as such. Any such information or Research contained in these commentaries are subject to change, and PSPL shall not have any responsibility to maintain the information or Research made available or to supply any corrections, updates or releases in connection therewith. In no event will PSPL be liable for any special, indirect, incidental or consequential damages which may be incurred from the use of the information or Research made available, even if it has been advised of the possibility of such damages. The companies and their employees mentioned in these commentaries cannot be held liable for any errors, inaccuracies and/or omissions howsoever caused. Any opinion or advice herein is made on a general basis and is subject to change without notice. The information provided in these commentaries may contain optimistic statements regarding future events or future financial performance of countries, markets or companies. You must make your own financial assessment of the relevance, accuracy and adequacy of the information provided in these commentaries.

Views and any strategies described in these commentaries may not be suitable for all investors. Opinions expressed herein may differ from the opinions expressed by other units of PSPL or its connected persons and associates. Any reference to or discussion of investment products or commodities in these commentaries is purely for illustrative purposes only and must not be construed as a recommendation, an offer or solicitation for the subscription, purchase or sale of the investment products or commodities mentioned.

Contact us to Open an Account

Need Assistance? Share your Details and we’ll get back to you


This material is provided by Phillip Capital Management (S) Ltd (“PCM”) for general information only and does not constitute a recommendation, an offer to sell, or a solicitation of any offer to invest in any of the exchange-traded fund (“ETF”) or the unit trust (“Products”) mentioned herein. It does not have any regard to your specific investment objectives, financial situation and any of your particular needs. You should read the Prospectus and the accompanying Product Highlights Sheet (“PHS”) for key features, key risks and other important information of the Products and obtain advice from a financial adviser (“FA“) pursuant to a separate engagement before making a commitment to invest in the Products. In the event that you choose not to obtain advice from a FA, you should assess whether the Products are suitable for you before proceeding to invest. A copy of the Prospectus and PHS are available from PCM, any of its Participating Dealers (“PDs“) for the ETF, or any of its authorised distributors for the unit trust managed by PCM.  

An ETF is not like a typical unit trust as the units of the ETF (the “Units“) are to be listed and traded like any share on the Singapore Exchange Securities Trading Limited (“SGX-ST”). Listing on the SGX-ST does not guarantee a liquid market for the Units which may be traded at prices above or below its NAV or may be suspended or delisted. Investors may buy or sell the Units on SGX-ST when it is listed. Investors cannot create or redeem Units directly with PCM and have no rights to request PCM to redeem or purchase their Units. Creation and redemption of Units are through PDs if investors are clients of the PDs, who have no obligation to agree to create or redeem Units on behalf of any investor and may impose terms and conditions in connection with such creation or redemption orders. Please refer to the Prospectus of the ETF for more details.  

Investments are subject to investment risks including the possible loss of the principal amount invested. The purchase of a unit in a fund is not the same as placing your money on deposit with a bank or deposit-taking company. There is no guarantee as to the amount of capital invested or return received. The value of the units and the income accruing to the units may fall or rise. Past performance is not necessarily indicative of the future or likely performance of the Products. There can be no assurance that investment objectives will be achieved.  

Where applicable, fund(s) may invest in financial derivatives and/or participate in securities lending and repurchase transactions for the purpose of hedging and/or efficient portfolio management, subject to the relevant regulatory requirements. PCM reserves the discretion to determine if currency exposure should be hedged actively, passively or not at all, in the best interest of the Products.  

The regular dividend distributions, out of either income and/or capital, are not guaranteed and subject to PCM’s discretion. Past payout yields and payments do not represent future payout yields and payments. Such dividend distributions will reduce the available capital for reinvestment and may result in an immediate decrease in the net asset value (“NAV”) of the Products. Please refer to <www.phillipfunds.com> for more information in relation to the dividend distributions.  

The information provided herein may be obtained or compiled from public and/or third party sources that PCM has no reason to believe are unreliable. Any opinion or view herein is an expression of belief of the individual author or the indicated source (as applicable) only. PCM makes no representation or warranty that such information is accurate, complete, verified or should be relied upon as such. The information does not constitute, and should not be used as a substitute for tax, legal or investment advice.  

The information herein are not for any person in any jurisdiction or country where such distribution or availability for use would contravene any applicable law or regulation or would subject PCM to any registration or licensing requirement in such jurisdiction or country. The Products is not offered to U.S. Persons. PhillipCapital Group of Companies, including PCM, their affiliates and/or their officers, directors and/or employees may own or have positions in the Products. Any member of the PhillipCapital Group of Companies may have acted upon or used the information, analyses and opinions herein before they have been published. 

This advertisement has not been reviewed by the Monetary Authority of Singapore.  


Phillip Capital Management (S) Ltd (Co. Reg. No. 199905233W)  
250 North Bridge Road #06-00, Raffles City Tower ,Singapore 179101 
Tel: (65) 6230 8133 Fax: (65) 65383066 www.phillipfunds.com