[NEWS] Bank of America and Wells Fargo to start selling Bitcoin spot ETFs

It has been learned that Merrill Lynch and Wells Fargo, subsidiaries of the US megabank Bank of America (BofA), will begin offering Bitcoin spot ETFs to wealthy clients. Bloomberg reported this, citing people familiar with the matter.

The launch of the offering by major megabanks shows that Bitcoin spot ETFs are not just an investment product supported by a select few, but are being accepted by US investment banks, securities companies, and general investors as a product for institutional investors.

On the 28th of last month, it was reported that investment bank Morgan Stanley is considering offering a Bitcoin spot ETF to clients of its securities trading platform. Morgan is currently conducting due diligence to add a Bitcoin spot ETF to its platform. Morgan's assets under management currently exceed $150 billion (approximately 22 trillion yen).

According to a BofA official, the Bitcoin spot ETF has been available to clients for several weeks.

Wells Fargo said in a statement that "Bitcoin spot ETFs can be purchased through Wells Fargo Advisors or our online WellsTrade platform."

Bitcoin spot ETFs provide investors with exposure to Bitcoin without directly holding the cryptocurrency. After a decade of battling with the SEC, 11 Bitcoin spot ETFs were approved and began trading in the United States in January.

Some predict further price increases

Gautam Chugani, an analyst at research firm Bernstein, said on the 26th that "Bitcoin has been driven by unprecedented investor adoption over a period of time and is on track to reach $150,000 in 18 months."

Some predict that Bitcoin could rise to $500,000 in the next five years, while others expect it to reach $170,000 by 2025.

On the 28th, Bitcoin surpassed $60,000 (approximately 9.03 million yen) for the first time in two years. The reason behind this is the huge inflow of funds into Bitcoin spot ETFs. With the entry of major megabanks and investment banks, the inflow amount is likely to increase further in the future.

In contrast, Vanguard, the largest mutual fund provider, said it has no plans to allow brokerage clients to use Bitcoin spot ETFs on its platform.

Reference:Report
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