Cryptocurrency Q&A
Is BITO backed by bitcoin?
Is BITO backed by bitcoin?
Riccardo
Thu Oct 03 2024
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7 answers
1850
Could you please clarify if BITO, the Bitcoin Strategy ETF, is actually backed by physical bitcoin holdings? I understand that it tracks the price of bitcoin, but I'm curious if there's a direct correlation between the ETF's value and actual bitcoin ownership. Is BITO a more convenient way for investors to gain exposure to bitcoin without directly owning it, or does it have some other underlying mechanism that determines its value?
7 answers
ShintoBlessing
Sat Oct 05 2024
The Fund's portfolio includes a range of instruments, each designed to offer unique risk-return profiles.
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InfinityVoyager
Sat Oct 05 2024
The Fund operates with a diversified investment strategy, ensuring portfolio balance and risk management.
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CryptoAce
Sat Oct 05 2024
As part of its investment approach, the Fund avoids direct exposure to bitcoin, the leading cryptocurrency.
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Federico
Sat Oct 05 2024
Instead, it seeks to capture the growth potential of the cryptocurrency market through alternative avenues.
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Leonardo
Sat Oct 05 2024
This approach allows the Fund to maintain flexibility and adapt to market conditions swiftly.
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