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Cryptocurrencies are the second choice for investors in ETFs after equities, with about 45% of ETF investors eyeing crypto, according to a study by Charles Schwab. Nearly half of those surveyed expressed interest in crypto ETFs, a higher interest than in bonds, international, and other alternative assets. Crypto preference was especially high among millennials, with 62% of millennial ETF investors planning to invest in it. Crypto-based ETFs made up 13 of the top 25 ETF launches by inflows in 2024, with the biggest four inflows being Bitcoin ETFs.

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Cryptocurrencies are now the runner-up choice for investors in exchange-traded funds (ETFs), right after equity investments, says a study by Charles Schwab. The report reveals that about 45% of ETF investors have their sights set on crypto, with stocks preferred by 55% of the respondents.

According to Bloomberg Intelligence ETF analyst, Eric Balchunas, nearly half of those surveyed by Schwab said that they’re keen on investing in crypto ETFs. This is a significant statistic given that the interest in crypto investments surpassed that in bonds, international, and other alternative assets.

Furthermore, the preference for crypto was even more pronounced among millennials. For this group, cryptocurrencies even outperformed equities, with 62% of millennial ETF investors planning to invest in crypto.

When it comes to the largest ETF launches in 2024, crypto-based ETFs have dominated. President of The ETF Store, Nate Geraci, reports that cryptocurrency ETFs made up 13 of the top 25 ETF launches in 2024 by the inflows year-to-date. Among the new players in 2024, the biggest four by inflows have been Bitcoin ETFs.

BlackRock’s iShares Bitcoin Trust (IBIT) is leading the pack, with nearly $21 billion in inflows through August. They’re followed by Fidelity Wise Origin Bitcoin Fund (FBTC) with close to $10 billion, and ARK 21Shares Bitcoin ETF (ARKB) and the Bitwise Bitcoin ETF Trust (BITB), each with roughly $2 billion.

As for Ethereum, the iShares Ethereum Trust ETF (ETHA) tops the list among Ethereum ETFs having attracted more than $1 billion in net inflows.

Many believe that the U.S debut of options on spot Bitcoin ETFs will fast-track institutional adoption and potentially unlock substantial upside for Bitcoin holders. These options could be launched in the U.S by the first quarter of 2025.

However, despite the data, a notable absence from the landscape of spot crypto ETFs so far is Schwab, observed Geraci.

Source: Cointelegraph