Investment Advisers to Surpass Hedge Funds as Top Holders of Bitcoin (BTC) ETFs Next Year: CF Benchmarks

Investment Advisers to Surpass Hedge Funds as Top Holders of Bitcoin (BTC) ETFs Next Year: CF Benchmarks

Investment advisers will in all probability overtake hedge funds as the most important holders of U.S.-listed spot bitcoin (BTC) exchange-traded funds (ETFs) subsequent yr, CF Benchmarks stated Monday.

A complete of 11 spot BTC ETFs debuted within the U.S. on Jan. 11, offering a means for traders to achieve publicity to the cryptocurrency with out personally having to carry and retailer it. Since their inception, they’ve accrued over $36 billion in investor funds.

Demand has been dominated by hedge-fund managers, who personal 45.3% of the ETFs. Investment advisers, the gatekeepers to retail and high-net-worth capital, are a distant second at 28%.

That is set to vary in 2025, based on CF Benchmarks, which predicts funding advisers’ share will rise above 50% in each the BTC and ether (ETH) ETF markets. CF Benchmarks is a U.Okay.-regulated index supplier behind a number of key digital asset benchmarks, together with 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’ stated 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 supplier stated.

Possession Composition of U.S. Spot Crypto ETFs. (CF Benchmarks)

Investment advisers are already in pole place within the ether ETF market and are prone to prolong their lead subsequent yr.

Ether’s father or mother blockchain, Ethereum, is anticipated to profit from the rising reputation of asset tokenization whereas rival Solana may proceed to achieve market share on potential regulatory readability within the U.S.

“We expect the trend towards asset tokenization to accelerate in 2025, with
tokenized RWAs topping $30B,” the report stated, referring to real-world property.

In stablecoins, new entrants like Ripple’s RLUSD and Paxos’ USDG are anticipated to problem the dominance of tether’s USDT, whose market share has elevated from 50% to 70%.

The scalability of blockchains may even be examined, and the anticipated enhance in energetic consumer adoption on account of regulatory readability beneath President-elect Donald Trump’s administration could require on-chain capability to double to over 1600 TPS.

Final however not least, the Federal Reserve is seen turning dovish, using unconventional measures like yield curve management or expanded asset purchases to handle the poisonous combine of upper debt servicing prices and a weak labor market.

“Deeper debt monetization should elevate inflation expectations, bolstering hard assets like Bitcoin as hedges against monetary debasement,” the report stated.

Supply hyperlink

author avatar
Crypto Dunia
bitcoin
Bitcoin (BTC) $ 116,559.23 4.88%
ethereum
Ethereum (ETH) $ 2,972.22 6.92%
tether
Tether (USDT) $ 1.00 0.01%
xrp
XRP (XRP) $ 2.58 6.15%
bnb
BNB (BNB) $ 690.97 2.91%
solana
Solana (SOL) $ 164.64 4.26%
usd-coin
USDC (USDC) $ 1.00 0.00%
dogecoin
Dogecoin (DOGE) $ 0.198756 10.05%
tron
TRON (TRX) $ 0.294909 1.22%
staked-ether
Lido Staked Ether (STETH) $ 2,969.33 6.90%
cardano
Cardano (ADA) $ 0.687995 10.43%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 116,293.16 4.70%
hyperliquid
Hyperliquid (HYPE) $ 44.09 6.32%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,588.26 6.86%
sui
Sui (SUI) $ 3.49 11.89%
chainlink
Chainlink (LINK) $ 15.38 7.21%
bitcoin-cash
Bitcoin Cash (BCH) $ 520.90 1.72%
stellar
Stellar (XLM) $ 0.305192 4.25%
avalanche-2
Avalanche (AVAX) $ 20.86 6.93%
hedera-hashgraph
Hedera (HBAR) $ 0.197182 13.49%
leo-token
LEO Token (LEO) $ 9.05 0.66%
wrapped-eeth
Wrapped eETH (WEETH) $ 3,179.72 6.63%
shiba-inu
Shiba Inu (SHIB) $ 0.000014 8.35%
weth
WETH (WETH) $ 2,967.70 6.68%
usds
USDS (USDS) $ 1.00 0.03%
the-open-network
Toncoin (TON) $ 2.98 4.07%
litecoin
Litecoin (LTC) $ 95.58 5.00%
whitebit
WhiteBIT Coin (WBT) $ 46.78 0.50%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 1.00 0.08%
monero
Monero (XMR) $ 329.52 0.52%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 116,409.19 4.75%
polkadot
Polkadot (DOT) $ 3.92 7.68%
pepe
Pepe (PEPE) $ 0.000013 15.79%
bitget-token
Bitget Token (BGB) $ 4.58 3.12%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.00%
uniswap
Uniswap (UNI) $ 8.43 2.78%
aave
Aave (AAVE) $ 307.29 2.62%
pi-network
Pi Network (PI) $ 0.519866 10.67%
dai
Dai (DAI) $ 1.00 0.03%
bittensor
Bittensor (TAO) $ 379.22 8.35%
aptos
Aptos (APT) $ 4.92 6.93%
near
NEAR Protocol (NEAR) $ 2.55 8.43%
ethena-staked-usde
Ethena Staked USDe (SUSDE) $ 1.18 0.06%
crypto-com-chain
Cronos (CRO) $ 0.098235 2.77%
okb
OKB (OKB) $ 49.44 1.77%
internet-computer
Internet Computer (ICP) $ 5.49 6.42%
jito-staked-sol
Jito Staked SOL (JITOSOL) $ 200.24 4.43%
ondo-finance
Ondo (ONDO) $ 0.904672 7.72%
blackrock-usd-institutional-digital-liquidity-fund
BlackRock USD Institutional Digital Liquidity Fund (BUIDL) $ 1.00 0.00%
ethereum-classic
Ethereum Classic (ETC) $ 18.54 5.03%
susds
sUSDS (SUSDS) $ 1.06 0.01%
kaspa
Kaspa (KAS) $ 0.086933 6.04%
usd1-wlfi
USD1 (USD1) $ 1.00 0.06%
cosmos
Cosmos Hub (ATOM) $ 4.65 7.42%
mantle
Mantle (MNT) $ 0.632219 5.60%
vechain
VeChain (VET) $ 0.024492 9.39%
ethena
Ethena (ENA) $ 0.325056 12.68%
arbitrum
Arbitrum (ARB) $ 0.410412 14.81%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.225675 9.05%
official-trump
Official Trump (TRUMP) $ 10.06 9.40%
gatechain-token
Gate (GT) $ 16.31 2.22%
render-token
Render (RENDER) $ 3.75 10.84%
fetch-ai
Artificial Superintelligence Alliance (FET) $ 0.741043 5.69%
fasttoken
Fasttoken (FTN) $ 4.46 0.13%
algorand
Algorand (ALGO) $ 0.22028 13.95%
bonk
Bonk (BONK) $ 0.000024 15.65%
worldcoin-wld
Worldcoin (WLD) $ 1.09 18.53%
sei-network
Sei (SEI) $ 0.330471 24.13%
binance-peg-weth
Binance-Peg WETH (WETH) $ 2,973.67 7.02%
sky
Sky (SKY) $ 0.084183 2.18%
filecoin
Filecoin (FIL) $ 2.61 7.28%
lombard-staked-btc
Lombard Staked BTC (LBTC) $ 115,950.07 4.58%
jupiter-perpetuals-liquidity-provider-token
Jupiter Perpetuals Liquidity Provider Token (JLP) $ 4.74 2.80%
binance-staked-sol
Binance Staked SOL (BNSOL) $ 174.40 4.25%
spx6900
SPX6900 (SPX) $ 1.63 8.17%
jupiter-exchange-solana
Jupiter (JUP) $ 0.49282 8.44%
usdtb
USDtb (USDTB) $ 1.00 0.02%
first-digital-usd
First Digital USD (FDUSD) $ 0.999087 0.01%
kucoin-shares
KuCoin (KCS) $ 11.36 1.58%
kelp-dao-restaked-eth
Kelp DAO Restaked ETH (RSETH) $ 3,109.84 6.75%
rocket-pool-eth
Rocket Pool ETH (RETH) $ 3,382.73 6.75%
usdt0
USDT0 (USDT0) $ 0.999846 0.05%
pudgy-penguins
Pudgy Penguins (PENGU) $ 0.021337 28.27%
celestia
Celestia (TIA) $ 1.88 11.62%
fartcoin
Fartcoin (FARTCOIN) $ 1.32 17.02%
nexo
NEXO (NEXO) $ 1.28 2.85%
injective-protocol
Injective (INJ) $ 12.45 13.23%
xdce-crowd-sale
XDC Network (XDC) $ 0.07354 7.86%
virtual-protocol
Virtuals Protocol (VIRTUAL) $ 1.81 14.13%
optimism
Optimism (OP) $ 0.676017 14.62%
flare-networks
Flare (FLR) $ 0.016838 2.66%
blockstack
Stacks (STX) $ 0.749431 8.11%
mantle-staked-ether
Mantle Staked Ether (METH) $ 3,176.27 6.95%
stakewise-v3-oseth
StakeWise Staked ETH (OSETH) $ 3,117.98 6.80%
sonic-3
Sonic (S) $ 0.344285 7.94%
polygon-bridged-usdt-polygon
Polygon Bridged USDT (Polygon) (USDT) $ 1.00 0.02%
solv-btc
Solv Protocol BTC (SOLVBTC) $ 115,976.07 4.52%
dogwifcoin
dogwifhat (WIF) $ 1.06 10.55%
floki
FLOKI (FLOKI) $ 0.000104 12.24%
story-2
Story (IP) $ 3.49 11.45%
Scroll to Top