Who’s Buying Bitcoin ETFs (According to 13F Filings)

Three takeaways from Bitwise CIO @Matt_Hougan's weekly memo to investors.

Takeaway 1: Lots of Professional Firms Own Bitcoin ETFs

563 professional investment firms reported owning $3.5 billion worth of bitcoin ETFs as of last Thursday. By the May 15 filing deadline, we could see 700+ firms and total AUM nearing $5 billion. Takeaway 2: A Historic Scale of Professional Investor Ownership

This scale of ownership is off the charts for a new ETF. Most ETFs attract very few 13F filers in their first few months on the market.

12 Real-World Stories of Crypto in Action

A thread on how millions of people are using crypto services today…and what they could mean for everyday life in the future. 1/ XP: Ticketmaster, Minus the Gouging

@xpticket, a blockchain-powered ticketing marketplace is ditching the old Ticketmaster model and its pesky fees.

On XP, each ticket is represented by an NFT, and because it’s built on Solana the fees are drastically lower.

10 Crypto Predictions for 2024

Note: Predictions are not guarantees and are not investment advice.

Prediction 1: Bitcoin will trade above $80,000, setting a new all-time high. Prediction 2: Spot bitcoin ETFs will be approved, and collectively will be the most successful ETF launch of all time.

1/ Today, we're thrilled to launch the world's 1st DeFi crypto index fund!

DeFi is an exciting, young, & fast-growing category. We hope this fund makes it easier for more to participate.

Press release here: bitwiseinvestments.com/resources/pres…

Below, a quick run-through of the details — 2/ First, the fund's holdings.

Today the fund holds 9 DeFi cryptoassets: UNI, AAVE, SNX, MKR, COMP, UMA, YFI, ZRX, & LRC

Holdings & weights will change as the space evolves.

The index, & the fund which tracks it, rebalances holdings each month.

How are holdings selected?

1/ NEW @BitwiseInvest Paper on Bitcoin in a 60/40 portfolio.

TLDR: Historically, there's no *wrong* time to invest!

If you held for 3 years & rebalanced, BTC boosted returns *regardless of when* you bought!

Even if you bought in Dec 2017!

static.bitwiseinvestments.com/Research/Bitwi…

Thread — 2/ If you happened to invest on the *worst* possible day—the ATH in December 2017—despite Bitcoin being down 67% since then (as of March 31, 2020), you'd still be better off in a 60/40 portfolio!

Quarterly rebalancing is the key.

That's *worst case* though.

1/

📊NEW REPORT:

The Bitwise/ETF Trends 2020 Benchmark Survey of Financial Advisor Attitudes Toward Cryptoassets

400+ FAs surveyed:
- 64% expect price to rise
- % allocating to double from 6% to 13% in 2020

Download it here: bitwiseinvestments.com/benchmark-surv…

Thread with highlights. 2/

You can also read coverage of the 2020 Benchmark Survey in the press:

- WSJ: wsj.com/articles/bitco…
- Forbes: forbes.com/sites/donnafus…
- Financial Advisor: fa-mag.com/news/bitwise-s…
- TheBlock: theblockcrypto.com/linked/52983/b…
- ETF Trends: etftrends.com/new-bitwise-et…

Now the highlights —

1/ New Research from us @BitwiseInvest.

As part of 226 slides presented to the SEC on our ETF filing, we did a first-of-its-kind analysis of *order book data* from all 81 exchanges reporting >$1M in BTC volume on CMC.

TLDR: 95% of reported volume is fake but LOTS of good news! 2/ First, key takeaways:

A. 95% of reported BTC spot volume is fake
B. Likely motive is listing fees (can be $1-3M)
C. Real daily spot volume is ~$270M
D. 10 exchanges make up almost all real trading
E. Most of the 10 are regulated
F. Spreads are <0.10%. Arb is super efficient