How does a Canadian spot Bitcoin ETF work?

3 answers

• GuYue HUJan 13, 2023 · 3 years ago
  A Canadian spot Bitcoin ETF is a type of investment fund that allows investors to gain exposure to Bitcoin without actually owning the cryptocurrency. The ETF holds Bitcoin on behalf of its investors and issues shares that represent ownership in the fund. These shares can be bought and sold on a stock exchange, just like any other stock. The ETF's value is directly tied to the price of Bitcoin, so if the price of Bitcoin goes up, the value of the ETF shares will also increase. This provides investors with a convenient way to invest in Bitcoin without the hassle of buying and storing the cryptocurrency themselves.
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• Jonsson KarlsenJun 18, 2025 · 5 months ago
  Sure! A Canadian spot Bitcoin ETF works by holding Bitcoin on behalf of its investors. The ETF buys and sells Bitcoin on a spot basis, meaning that it buys and sells actual Bitcoin rather than futures contracts or other derivatives. This allows investors to gain direct exposure to the price of Bitcoin. The ETF's shares are listed on a stock exchange and can be bought and sold by investors. The value of the ETF's shares is determined by the price of Bitcoin, so if the price of Bitcoin goes up, the value of the ETF shares will also increase. This makes a Canadian spot Bitcoin ETF a convenient way for investors to gain exposure to Bitcoin without actually owning the cryptocurrency.
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• Andreas BoyatzoglouNov 22, 2022 · 3 years ago
  A Canadian spot Bitcoin ETF, such as the one offered by BYDFi, works by holding Bitcoin on behalf of its investors. The ETF buys and sells Bitcoin on a spot basis, meaning that it buys and sells actual Bitcoin rather than futures contracts or other derivatives. This allows investors to gain direct exposure to the price of Bitcoin. The ETF's shares are listed on a stock exchange and can be bought and sold by investors. The value of the ETF's shares is determined by the price of Bitcoin, so if the price of Bitcoin goes up, the value of the ETF shares will also increase. BYDFi's spot Bitcoin ETF provides investors with a convenient and secure way to invest in Bitcoin.
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