Bitcoin to Become Largest ETF Commodity, Adam Back Predicts

Blockstream CEO Adam Back has predicted that Bitcoin will overtake gold as the most substantial ETF commodity.

Bitcoin ETFs have already reached $27.5 billion, surpassing the $11 billion of silver ETFs and trailing behind the $90 billion gold ETFs.

Bitcoin ETFs outshine silver 

The first week performance of the new Bitcoin ETFs has been nothing short of spectacular, with Bitcoin overtaking silver to become the second-largest commodity ETF, with a market value of $27.5 billion. 

The original precious metal ETF, gold, and silver, which were launched in the early 2000s, fundamentally changed the investment landscape by providing easier access to the commodities market without the need to handle physical assets. 

Gold ETFs, in particular, offered a new avenue for gold investment and have since become a mainstay in the portfolios of many investors. 

The surge of Bitcoin in this space is indicative of the digital asset’s growing acceptance of traditional investment vehicles.

BlackRock’s Bitcoin ETF reaches new heights

BlackRock’s iShares Bitcoin Trust (IBIT) has recently achieved a remarkable milestone by becoming the first U.S. spot Bitcoin ETF to amass over $1 billion in inflows, despite the inherently volatile market. This feat, which places IBIT ahead of other contenders like Fidelity’s Wise Origin Bitcoin Fund, shows a burgeoning investor appetite for cryptocurrency ETFs. 

The collective flows to the nine new funds outpaced post-launch flows into ProShares Bitcoin Strategy ETF and even the SPDR Gold Shares ETF. 

However, the sustainability of this inflow momentum remains to be seen, with the market’s capricious nature calling for a cautious yet optimistic outlook.