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Investment advisers will probably overtake hedge funds as the biggest holders of U.S.-listed spot bitcoin (BTC) exchange-traded funds (ETFs) next year, CF Benchmarks said Monday. A total of 11 spot BTC ETFs debuted in the U.S. on Jan. 11, providing a way for investors to gain exposure to the cryptocurrency without personally having to hold and store it. Since their inception, they have accumulated over $36 billion in investor funds. Demand has been dominated by hedge-fund managers, who own 45.3% of the ETFs. Investment advisers, the gatekeepers to retail and high-net-worth capital, are a distant second at 28%. That`s set to change in 2025, according to CF Benchmarks, which predicts investment advisers` share will rise above 50% in both the BTC and ether (ETH) ETF markets. CF Benchmarks is a U.K.-regulated index provider behind several key digital asset benchmarks, including the BRRNY, referred by many ETFs. "We expect Investment advisor allocations to rise beyond 50% for both assets, as the $88 trillion U.S. wealth management industry begins to embrace these vehicles, eclipsing 2024`s combined record-breaking $40 billion in net flows," CF Benchmarks` said in an annual report shared with CoinDesk. "This transformation, driven by growing client demand, deeper understanding of digital assets, and product maturation, will likely reshape the current ownership mix as these products become staples in model portfolios," the index provider said. Investment advisers are already in pole position in the ether ETF market and are likely to extend their lead next year. Ether`s parent blockchain, Ethereum, is expected to benefit from the growing popularity of asset tokenization while rival Solana could continue to gain market share on potential regulatory clarity in the U.S. "We expect the trend towards asset tokenization to accelerate in 2025, withtokenized RWAs topping $30B," the report said, referring to real-world assets . In stablecoins, new entrants like Ripple`s RLUSD and Paxos` USDG are expected to challenge the dominance of tether`s USDT, whose market share has increased from 50% to 70%. The scalability of blockchains will also be tested, and the expected increase in active user adoption due to regulatory clarity under President-elect Donald Trump`s administration may require on-chain capacity to double to over 1600 TPS. Last but not least, the Federal Reserve is seen turning dovish, employing unconventional measures like yield curve control or expanded asset purchases to address the toxic mix of higher debt servicing costs and a weak labor market. "Deeper debt monetization should elevate inflation expectations, bolstering hard assets like Bitcoin as hedges against monetary debasement," the report said.
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MicroStrategy Expands Board of Directors, Adds Former Acting Comptroller of the Currency Brian Brooks and Others
The largest publicly-traded corporate holder of Bitcoin ( BTC ) just added three new seats to its board of directors. In a new filing with the U.S. Securities and Exchange Commission (SEC), enterprise software company MicroStrategy says the number of its board members has increased to nine. “On December 20, 2024, the Board of Directors (the ‘Board’) of MicroStrategy Incorporated (the ‘Company’), upon recommendation from the Nominating Committee of the Board, expanded the size of the Board from six to nine members.” The firm says the board elected Meridian Capital Group CEO and former Acting Comptroller of the Currency Brian Brooks, Brown University chief investment officer Jane Dietze and Fanatics Holdings chief legal officer Gregg Winiarski as new members. Brooks, Dietze and Winiarksi will be eligible to receive equity awards under the MicroStrategy Incorporated 2023 Equity Incentive Plan. They are also entitled to compensation and other personal benefits for non-employee directors. MicroStrategy expanded the size of its board as it continues to stockpile Bitcoin. Earlier this month, the company bought an additional 15,350 BTC. The acquisition brings MicroStrategy’s total Bitcoin holdings to 439,000 BTC valued at around $41 billion based on the flagship cryptocurrency’s current price of $94,451. The firm’s co-founder, Michael Saylor, says Bitcoin is emerging as the “world’s reserve capital network”. He says the US should accumulate BTC to cement its global financial dominance. Don`t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox Check Price Action Follow us on X , Facebook and Telegram Surf The Daily Hodl Mix Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: Midjourney The post MicroStrategy Expands Board of Directors, Adds Former Acting Comptroller of the Currency Brian Brooks and Others appeared first on The Daily Hodl . CoinDesk
