• Press Releases
    • Submit a press release
    • Read All
  • Contact us
Advertise
Bitcoinist.com
Buy Neo Pepe
No Result
View All Result
🚀 BUY NEO PEPE PROTOCOL 🚀
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
    • Price
      • Bitcoin Price
      • Ethereum Price
      • Binance Coin Price
      • Litecoin Price
  • Industry
    • Industry News
    • Press Releases
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • How to do Crypto Gambling
      • Crypto Casinos
        • Ethereum Casinos
        • Solana Casinos
        • LiteCoin Casinos
        • DogeCoin Casinos
        • Live Crypto Casinos
        • New Casinos
        • Instant Withdrawal Casinos
        • Cash App Casinos
        • No KYC Casinos
        • VPN Casinos
        • Offshore Casinos
          • Crypto Casinos IT
          • Crypto Casinos ES
            • All Guides
          • Crypto Casinos JP
          • Crypto Casinos SG
          • Crypto Casinos MY
          • Crypto Casinos KR
          • No GAMSTOP Casinos in UK
          • No Cruks Casinos NL
      • Crypto Betting
        • No ID sportsbooks
    • Play Crypto Games
      • Crypto Poker
      • Crypto Slots
      • Crypto Blackjack
      • Crypto Crash Gambling
        • Aviator Sites
      • Plinko
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Events
  • Play Games
Breaking News: Polymarket Set To Go Live In The US Following CFTC Approval, Says CEO
🚀 BUY NEO PEPE PROTOCOL 🚀
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
    • Price
      • Bitcoin Price
      • Ethereum Price
      • Binance Coin Price
      • Litecoin Price
  • Industry
    • Industry News
    • Press Releases
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • How to do Crypto Gambling
      • Crypto Casinos
        • Ethereum Casinos
        • Solana Casinos
        • LiteCoin Casinos
        • DogeCoin Casinos
        • Live Crypto Casinos
        • New Casinos
        • Instant Withdrawal Casinos
        • Cash App Casinos
        • No KYC Casinos
        • VPN Casinos
        • Offshore Casinos
          • Crypto Casinos IT
          • Crypto Casinos ES
            • All Guides
          • Crypto Casinos JP
          • Crypto Casinos SG
          • Crypto Casinos MY
          • Crypto Casinos KR
          • No GAMSTOP Casinos in UK
          • No Cruks Casinos NL
      • Crypto Betting
        • No ID sportsbooks
    • Play Crypto Games
      • Crypto Poker
      • Crypto Slots
      • Crypto Blackjack
      • Crypto Crash Gambling
        • Aviator Sites
      • Plinko
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Events
  • Play Games
Bitcoinist.com
No Result
View All Result
Breaking News: Polymarket Set To Go Live In The US Following CFTC Approval, Says CEO
Bitcoin spot ETF

Bitcoin Spot ETF: NYDIG Research Predicts $30 Billion Of Demand

Jake Simmons
by Jake Simmons
2 years ago
·
Posted in Bitcoin News
Trusted Editorial content, reviewed by leading industry experts and seasoned editors. Ad Disclosure

In a research report, NYDIG’s Global Head of Research, Greg Cipolaro, delved into the highly anticipated spot Bitcoin ETF and its potential impact on the BTC price. Cipolaro examines the opportunity it presents, its implications for the investment community, and the potential demand it could unleash. The analysis also sheds light on the existing landscape of BTC funds, the comparisons to gold, and the potential scenarios that could unfold if a spot Bitcoin ETF were to materialize.

Before examining the potential impact of a spot ETF, it is crucial to grasp the current state of Bitcoin investments. While the US has not yet witnessed a spot ETF, existing structures, including trusts like the Grayscale Bitcoin Trust (GBTC), futures-based ETFs, spot-based ETFs outside the US, and private funds, have amassed a staggering $28.8 billion in assets under management (AUM).

Bitcoin funds AUM
Global BTC fund AUM | Source: NYDIG

Notably, $27.6 billion of this AUM is invested in spot products. Cipolaro emphasizes that despite this substantial investment, existing options have drawbacks that a spot ETF could overcome.

The Bullish Argument For A Spot ETF

The bullish case for a spot ETF centers around the numerous benefits it could offer compared to existing alternatives. Investors stand to gain from the enhanced investor protections associated with exchange-traded products, the brand recognition and familiarity of BlackRock and iShares, as well as improved liquidity, lower tracking error, and potentially lower costs compared to certain existing funds. Cipolaro points out that while the exact fees for a spot ETF remain undisclosed, it holds the potential for substantial demand.

Related Reading: BlackRock Application For Spot Bitcoin ETF Undergoes Formal Review By SEC

In the quest to estimate the size of potential demand for a spot Bitcoin ETF, Cipolaro turns to gold for analogies. Gold ETFs currently hold over $210 billion in AUM worldwide, whereas nearly half of that AUM ($107.3 billion) is in North America.

Remarkably, global ETFs only hold 1.6% of the total gold supply, with central banks (17.1%), bars and coins (20.6%), jewelry (45.8%), and others (14.9%) accounting for much bigger portions. However, BTC’s supply is already more heavily held in various fund formats (4.9%) compared to gold (1.6%).

When looking at private investments, the ratio is more favorable. The share of private investment in gold ETFs is 7.4% compared to 4.9% for various Bitcoin funds. Private investment in gold is still primarily held in coins and bars (92.6% of private investment). Cipolaro highlights:

The numbers are striking on an absolute dollar basis – over $210B invested in gold funds, while only $28.8B is invested in Bitcoin funds.

Considering Bitcoin’s higher volatility compared to gold, Cipolaro uses a volatility equivalent basis to estimate potential demand for a spot Bitcoin ETF. Bitcoin is about 3.6x more volatile than gold, meaning that on a volatility equivalent basis, investors would require 3.6x less Bitcoin than gold on a dollar basis to get as much risk exposure. “Still, that would result in nearly $30B of incremental demand for a Bitcoin ETF.”

Related Reading: Legitimacy Boost: BlackRock CEO Declares Bitcoin An “International Asset”

Impact On BTC Price

The analysis also explores potential scenarios of a spot ETF’s impact on Bitcoin’s price. Assuming a 10.0x money multiplier (11.36x was observed in 2018), “for every $1 of AUM that flows into an ETF it impacts the value (market cap) of BTC by $10, assumes Cipolaro, concluding:

On the lower end, $1B of ETF AUM would be on par with the existing futures-based BITO ETF. On the upper end, $100B would surpass the combined $85B in AUM in GLD and IAU. While we do not know the ultimate success of a spot Bitcoin ETF, these seem like helpful ways to bound the analysis.

Bitcoin price prediction
BTC price sensitivity | Source: NYDIG

At press time, the BTC price stood at $30,144, remaining near the range range lows.

Bitcoin price
BTC price remains near range lows, 4-hour chart | Source: BTCUSD on TradingView.com
Featured image from iStock, chart from TradingView.com
Editorial Process for bitcoinist is centered on delivering thoroughly researched, accurate, and unbiased content. We uphold strict sourcing standards, and each page undergoes diligent review by our team of top technology experts and seasoned editors. This process ensures the integrity, relevance, and value of our content for our readers.
ShareTweetShareShare

Sign Up for Our Newsletter!

For updates and exclusive offers enter your email.

I consent to my submitted data being collected and stored.
Jake Simmons

Jake Simmons

Follow

Jake Simmons has been a Bitcoin enthusiast since 2016. Ever since he heard about Bitcoin, he has been studying the topic every day and trying to share his knowledge with others. His goal is to contribute to Bitcoin's financial revolution, which will replace the fiat money system. Besides BTC and crypto, Jake studied Business Informatics at a university. After graduation in 2017, he has been working in the blockchain and crypto sector. You can follow Jake on Twitter at @realJakeSimmons.

Full Profile

Related Posts

Dormant Bitcoin Supply Awakens: Swapping BTC For ETH On Hyperliquid

Dormant Bitcoin Supply Awakens: Swapping BTC For ETH On Hyperliquid

6 hours ago
Bitcoin Derivative Pressure Score Hits 30%: Downside Risk Signal

Bitcoin Derivative Pressure Score Hits 30%: Downside Risk Signal

1 day ago
Bitcoin

Bitcoin Whale Dumps $4 Billion In BTC, Here’s What They Bought

1 day ago
cours-or-nouveau-record-chute-btc

Record de l’or et chute du Bitcoin : que se passe-t-il ?

1 day ago
Bitcoin

Bitcoin Correction Doesn’t Derail Its Growth Trajectory – Why The Bull Run Is Still On

1 day ago
Bitcoin & Ethereum

Bitcoin ETFs Post Net Inflows Again, But Ethereum Still Dominates

1 day ago

Premium Sponsors

Press Releases

  • miner

    Expectations of a Federal Reserve rate cut and demand for...

    2 hours ago
  • miner

    BlackRock suspends XRP listing, price faces resistance...

    2 hours ago
  • miner

    The September Curse Returns: How Crypto Investors Can...

    2 hours ago
  • Ethereum Price USD: The Latest Innovations of Crypto’s...

    3 hours ago
  • XRP Cloud Mining

    New Crypto Moves: FOR CRYPTO Launches AI Cloud...

    4 hours ago

Bitcoin news portal providing breaking news, guides, price analysis about decentralized digital money & blockchain technology.

Buy Neo Pepe

Bitcoin

  • News
  • Price
  • Businesses
  • Acceptance
  • Technology
  • Investment
  • Regulation
  • Reviews

Altcoins

  • News
  • Price
  • Ethereum
  • Ripple
  • Litecoin
  • EOS

Categories

  • Blockchain
  • Security
  • FinTech
  • Technology
  • Trending
  • Breaking News
  • Press Releases
  • How to

About Us

  • Advertise
  • Contact us
  • Editorial Policy
  • Privacy Policy
© 2025 Bitcoinist.com. All Rights Reserved.
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
    • Price
      • Bitcoin Price
      • Ethereum Price
      • Binance Coin Price
      • Litecoin Price
  • Industry
    • Industry News
    • Press Releases
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • How to do Crypto Gambling
      • Crypto Casinos
      • Crypto Betting
    • Play Crypto Games
      • Crypto Poker
      • Crypto Slots
      • Crypto Blackjack
      • Crypto Crash Gambling
      • Plinko
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
  • Events
  • Play Games
Advertise

© 2025 Bitcoinist. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.