(2:00) – Why Is Bitcoin Exploding Higher?
(6:20) – What Does Coinbase’s IPO Mean For Cryptocurrencies?
(9:00) – GBTC’s Conversion Into An ETF?
(14:00) – What Crypto Investment Is Best For You?
(20:30) – Should Investors Expect A Bitcoin ETF Anytime soon?
(24:00) – Amplify Transformational Data Sharing ETF: BLOK
(30:50) – Blockchain vs. Cryptocurrency Investing
(34:15) – Coinbase IPO: Should Investors Be Diving In?
In this episode of ETF Spotlight, we talk about bitcoin, Coinbase IPO and blockchain ETFs. Bitcoin has more than doubled this year and is up more than 800% over the past year. Cryptocurrencies surged to new record highs yesterday ahead of Coinbase’s COIN public listing.
Coinbase, the largest US cryptocurrency exchange, is a rare profitable unicorn. In the first quarter of 2021, it had estimated earnings of $730 million to $800 million on $1.8 billion in revenue.
In the first part of this episode, my guest is Michael Sonnenshein, Managing Director at Grayscale Investments, the world’s largest digital currency asset manager. In the second part, I’m joined by Michael Venuto, Portfolio Manager of the Amplify Transformational Data Sharing ETF BLOK, which is one of the best performing ETFs this year.
Grayscale offers several cryptocurrency investment products, including the ultra-popular Grayscale Bitcoin Trust GBTC, which is one of the few bitcoin investments products that retail investors can hold in their retirement and other brokerage accounts.
GBTC is not an ETF and does not have creation and redemption mechanism that helps an ETF keep its price quite close to its NAV. The product has been trading at a discount to its NAV lately whereas it usually traded at a premium. Grayscale recently announced its intention to convert GBTC into an ETF.
We don’t have a bitcoin ETF approved yet in the US and the first Canadian bitcoin ETF has already gathered more than $1 billion, within two months of its launch. At least eight US ETF providers, including Fidelity and VanEck, have applied to the SEC to launch bitcoin ETFs. Will we see a US bitcoin ETF this year?
BLOK is an actively managed ETF which holds companies focused on blockchain, a very powerful technology that has many applications beyond cryptocurrencies. MicroStrategy MSTR, PayPal PYPL, Nvidia NVDA, Tesla TSLA and Coinbase are among its holdings.
Tune into the podcast to learn more. Make sure to be on the lookout for the next edition of ETF Spotlight and also make sure to subscribe! If you have any comments or questions, please email [email protected]
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