Add as a preferred source on GoogleBitcoin holders turn to BlackRock ETFs to ease custody burden
Alex Thorn of Galaxy Research described a shift from directly held Bitcoin into spot ETFs, with BlackRock receiving the bulk of the activity as holders seek to ease custody burdens.
Holders are shifting directly owned Bitcoin into spot ETFs, particularly BlackRock’s fund, as the burden of safeguarding their own assets drives demand for a different ownership structure.
On Yahoo Finance’s October 20 broadcast, host Scott Melker relayed an explanation from Alex Thorn of Galaxy Research, who described a major trend of investors converting existing Bitcoin holdings into ETFs. Thorn said BlackRock was receiving the bulk of that activity.
Thorn linked the shift to concerns about hardware-wallet security, saying some holders were giving up self-custody after hacking incidents. He also said investors could transfer their Bitcoin into spot ETFs without triggering a taxable event.
Riza Dagoc
Riza Dagoc reports on regulation, investing and the digital-asset business for TokenPost. Send corrections or tips to info@tokenpost.com.