XRP Momentum Could Set Precedent for Bitcoin

Bitcoin spot ETFs could increase BTC demand to the tune of $30 billion, according to a report by NYDIG. The crypto trading firm estimates that there are $27.6 billion in spot-like products, compared with $210 billion invested in funds for gold, to which bitcoin is often compared. “Bitcoin is about 3.6x more volatile than gold, meaning that on a volatility equivalent basis, investors would require 3.6x less bitcoin than gold on a dollar basis to get as much risk exposure. Still, that would result in nearly $30B of incremental demand for a bitcoin ETF,” NYDIG writes. The possibility of a spot bitcoin ETF in the U.S. looks far more likely since BlackRock submitted an application to list one with a “surveillance-sharing” agreement, which the SEC sees as necessary to prevent market manipulation.