Bitcoin Futures ETFs: What To Know Before Investing

The SEC just approved futures-based Bitcoin ETFs that are now trading, but should you buy them? I don’t think so.

In this video, I talk about why buying futures-based ETFs is far from the same thing as buying an ETF that holds real assets.

Futures-based ETFs can underperform the actual asset price over time because of “contango bleed,” which is when higher-priced futures contracts trend toward the lower asset price over time.

Since futures-based ETFs hold futures and not real assets, your investment in these ETFs is exposed to the decay of futures contracts if the asset price doesn’t increase.

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== Recommended Resources/Videos ==

➥ Options Trading for Beginners (The ULTIMATE Guide): https://youtu.be/7PM4rNDr4oI
➥ Vertical Spreads for Beginners (The ULTIMATE Guide): https://youtu.be/mwttDWfDQ9c

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