Bitcoin
A decentralized digital currency that operates without a central bank or single administrator.
ETF
Definition
An ETF (exchange-traded fund) is an investment product that holds an asset and lets people buy shares in it through a stock exchange. A spot Bitcoin ETF holds real bitcoin, so its price moves with Bitcoin’s price. Investors get exposure without managing wallets or private keys.
Example
In January 2024, the SEC approved 11 spot Bitcoin ETFs, allowing investors to gain Bitcoin exposure through a brokerage account.