Bitcoin’s Wild Ride: ETFs Take Over and Gold’s Nervous 🥊

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CoinDesk Indices

What to know:

Well now, you’ve gone and opened Crypto for Advisors-CoinDesk’s weekly little scoop that peels back the cloak on digital coin mystery for financial folks who like numbers but hate getting their hands dirty. Sign up and get it every Thursday, come rain or shine.

Did you hear? Those exchange-traded products, or ETPs for the hip kids, have now sneaked up and become the biggest hoarders of bitcoin. It’s like discovering the biggest barn is not old Joe’s farm but some slick new outfit calling themselves ETF Central, with Rony Abboud playing ringmaster.

Then, we got Joshua de Vos, CoinDesk’s very own brainiac, answering the burning questions in his corner called “Ask an Expert.” Think of it as the digital campfire where you ask about ETFs without fear of getting laughed off the porch.

A nod to this week’s sponsor, the fine folks at Grayscale Investments. If you’re wandering near Minneapolis, they’re throwing a shindig called Crypto Connect Thursday, September 18. Check it out, or don’t. Your call.

– Sarah Morton

5 Crypto ETF Charts We Thought You’d Like this Month

Crypto ain’t some wild-eyed stranger anymore-it’s pulled up a chair at the ETF table, and boy, does it have tales to tell.

ETPs Hold the Bitcoin Crown

If you blinked, you may’ve missed it, but here it is straight: crypto exchange-traded products have hoarded 1.47 million bitcoins. That’s a chunk-about 7% of all 21 million coins out there-neatly parked in digital parking spots courtesy of Hold15Capital’s X report. Take that, gold bugs.

Public companies trail behind with just over a million coins, while governments clutch about 526,000-like nervous tenants waiting for the next crypto crash, according to bitcointreasuries.net.

BlackRock’s iShares IBIT ETF has scooped up 749,000 coins, Fidelity’s FBTC is sitting on 201,000, and Grayscale’s GBTC holds 185,000. Like a slow-moving herd, more institutional investors are tiptoeing in, soothed by Uncle Sam’s newly crypto-friendly mood.

Crypto Moves Into the ETF Mainstream

It seems cryptocurrencies have landed in the Trackinsight Global ETF Survey like a stranger who knows your name. Over 600 big-money players-with $1 trillion in ETFs-were asked about crypto, ESG, and a bunch of jazzy acronyms nobody really understands.

More than half say they’ll be loading clients’ portfolios with crypto in 2025. It’s like the financial equivalent of finding out kale isn’t so bad after all-just with more zeros and fewer green smoothies.

Crypto ETFs Break Into the Big Leagues

Over the past year, cryptocurrency ETFs hopped their way to the 8th largest net inflows in the U.S.-ETF Central’s scoreboard doesn’t lie. These coins wrapped in regulators’ fancy paper have convinced fence-sitters to finally join the party. You could say it’s no longer kid stuff but prime-time entertainment.

Solana and XRP ETFs Edge Closer to the Spotlight

Bitcoin and Ether ETFs are already basking in the limelight, while Solana and XRP stand nervously backstage, waiting for the SEC’s thumbs-up. It’s a drama worthy of a daytime soap, especially since the legal fog around Ripple finally lifted like a tired foghorn at dawn.

Futures-based Solana and XRP ETFs keep riding the momentum stateside, while our friends up north in Canada have already scored spot launches. Europe’s out there waving their flag high with ETPs covering nearly every major crypto-like a big buffet where no investor leaves hungry.

Since the start of 2024, XRP and Solana ETPs have pulled in $2.02 billion and $1.35 billion respectively-clearly, those dollars don’t like to just sit around twiddling thumbs.

The Big Race: Gold vs. Crypto

Here’s the showdown you didn’t know you were waiting for: Gold, the old-timer that’s kept investors cozy through inflation and geopolitical headaches, still leads with $400 billion in assets. But crypto’s no wallflower anymore-it’s sprinted past $200 billion, the flashy new kid with a punk rock streak.

This ain’t no bare-knuckle brawl; investors are hedging bets by holding both, like carrying an umbrella and a shotgun-just in case.

– Rony Abboud, chief marketing wizard at Trackinsight and ETF Central

Ask an Expert

Q: What happened with global crypto ETF/ETP flows in August?

Ether-linked products gobbled up $4.27 billion-the biggest monthly feast this year-making up around 88% of August’s inflows. They’re mostly thanks to US-listed funds, which decided to stop playing hard to get.

Bitcoin products, on the other hand, saw a modest $169.1 million exit party-not terribly dramatic, but enough to keep things interesting. Solana and XRP products pulled in $383.4 million and $279.7 million, respectively-because who doesn’t like mixing it up?

Flows by geography:

  • Americas: $4.92 billion in net inflows, still the anchor in this ship of shifting portfolios.
  • Europe: $108 million in net outflows, looking a bit shy and reserved this season.
  • APAC: $70.4 million in net inflows, led by Hong Kong and Australia, quietly grabbing snacks.

Q: How has the U.S. positioned itself since the debut of listed crypto ETFs and ETPs?

Since January 2024, U.S.-listed bitcoin ETFs have become the trusty home base for regulated crypto exposure. Roughly 94% of global crypto ETF dealings happen here. It’s like the Wild West has tamed into Wild Main Street-and everyone’s come to shop.

Investors appreciate the scale and consistency, trusting Uncle Sam to keep the price discovery and capital formation engine humming along.

Q: What policy developments have continued to firm the US operating backdrop for crypto ETFs?

  • The SEC said, “Sure, you can do in-kind creations/redemptions for spot bitcoin and ether products,” making things smoother and spreads tighter-like oil on creaky hinges.
  • Exchanges proposed generic listing rules for commodity-based ETPs, including digital stuff, hoping the regulators will give a green light and save everyone the paperwork headache.
  • The Commission’s playing the long game, stretching out review periods on certain proposals like Solana, bunching big decisions for October-spoiler: it’s not a cliffhanger, just patience.

Together, these moves take the market from a Wild West shootout to a well-oiled machine-well, as well-oiled as crypto can be.

– Joshua de Vos, CoinDesk’s resident research lead

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2025-09-11 22:21