If you're interested in cryptocurrencies and investing in a Bitcoin ETF, make sure you understand both the benefits and the risks of this new digital asset class. Here are some of the benefits of a Bitcoin ETF.
Bitcoin is still in its infancy, and there is significant risk in the form of government regulations reducing its viability or outlawing it entirely. The introduction of a Bitcoin ETF would go a long way toward legitimizing it as an asset.
The average investor does not want to mess with encrypted passwords, cold storage wallets, and other difficulties to hold Bitcoin in their portfolio. Having an institutional investor in the form of a Bitcoin ETF manage all of this would remove the investor's burden.