Crypto ETPs & ETFs to Surpass USD 120B Under Management in Six Years – Analysts

Adoption Bitcoin CBDC Cryptocurrency ETF Exchange
Author
Author
Fredrik Vold
Last updated: 
Why Trust Cryptonews
Cryptonews has covered the cryptocurrency industry topics since 2017, aiming to provide informative insights to our readers. Our journalists and analysts have extensive experience in market analysis and blockchain technologies. We strive to maintain high editorial standards, focusing on factual accuracy and balanced reporting across all areas - from cryptocurrencies and blockchain projects to industry events, products, and technological developments. Our ongoing presence in the industry reflects our commitment to delivering relevant information in the evolving world of digital assets. Read more about Cryptonews
Source: Adobe/AungMyo

 

The assets under management (AUM) in crypto-backed exchange-traded products (ETPs) and exchange-traded funds (ETFs) are likely to surpass USD 120bn by the year 2028, fueled by institutional demand and possible US policy changes, according to analysts at Bloomberg Intelligence.

This figure is likely to be seen even without large increases in crypto prices, their report said, predicting that a spot-based bitcoin (BTC) ETF will likely be approved in the US by the end of 2023.

An announcement that followed the report argued that,

“If this happens, there is likely to be tens of billions in assets added to crypto funds given such a move would signal regulatory clarity and approval of the digital assets space.” 

It added that US financial advisors currently control about USD 26tn, but only a small number of the advisors have any exposure to crypto at the moment. Among those who do work with crypto, advisors typically allocate only 1% or less of the client’s capital to crypto, the report said.

Commenting on the findings, James Seyffart, ETF Strategist at Bloomberg Intelligence, said regulations are still holding back traditional investors in the US from moving into digital assets.

“In the US, regulatory concern is the top reason advisors haven’t invested in cryptoassets. We believe a Bitcoin ETF approval would alleviate these concerns,” Seyffart said.

He added that the number of publicly listed crypto funds globally “should sustain the rapid growth of the past two years through 2022 and into 2023” as more countries allow for spot-based crypto funds to be listed.

Meanwhile, Bloomberg Intelligence also predicted that the crypto industry is moving from having a “niche offering” to becoming a more established investment product. In line with this, exchanges such as Coinbase and FTX are likely to see strong volume and revenue growth, the report said.

Lastly, the report argued that a central bank digital currency (CBDC) in the US, typically referred to as a ‘digital dollar’, is “a distinct possibility,” although nothing has so far been confirmed on that front.

____

Learn more:
Grayscale Would Consider APA Lawsuit if SEC Rejects its Bitcoin ETF Conversion Application, Says CEO
MicroStrategy’s and Grayscale Bitcoin Trust’s Shares Now Compete with ETFs

Once the Fed Pauses, Bitcoin is ‘Going to the Moon,’ Novogratz Says 

Bitcoin ETFs Remain Popular Among Investors Despite Price Slump
Crypto Bottom is In and ‘Massive Rally’ Awaits, Pantera Capital Predicts

Logo

Why Trust Cryptonews

2M+
Active Monthly Users Around the World
250+
Guides and Reviews Articles
8
Years on the Market
70
International Team Authors
editors
+ 66 More

Best Crypto ICOs

Discover trending tokens still in presale — early-stage picks with potential

Explore Our Tools

Smart tools made for everyday crypto users

Market Overview

  • 7d
  • 1m
  • 1y
Market Cap
$3,362,906,851,648
-2.32
Trending Crypto

More Articles

Bitcoin News
Bitcoin Records Highest Weekly Close as Price Nears All-Time High
Jai Pratap
Jai Pratap
2025-05-19 05:50:38
Altcoin News
New Central Bank Crypto Rules ‘Will Ban USDT Trading in Russia’
Tim Alper
Tim Alper
2025-05-18 23:30:00
Crypto News in numbers
editors
Authors List + 66 More
2M+
Active Monthly Users Around the World
250+
Guides and Reviews Articles
8
Years on the Market
70
International Team Authors