Bitcoin Spot ETFs Could Bring $30B in New Demand, Crypto Trader NYDIG Says
A lot can be learned from the listing of the first Gold ETF, but looking to the past also comes with some caveats.
Bitcoin (BTC) spot-based exchange-traded funds (ETFs) could bring $30 billion in new demand for the world’s largest digital asset, according to crypto trading firm NYDIG's .
The spot-ETF fever has gripped the crypto market in recent weeks, thanks to filings by BlackRock (BLK), Fidelity and others.
“The brand recognition of BlackRock and the iShares franchise, familiarity with purchase and sale methods through securities brokers, and simplicity of position reporting, risk measurement, and tax reporting, a spot ETF could bring some noted benefits compared to existing alternatives,” NYDIG writes in its report.
Already, NYDIG has modeled that there are $28.8 billion in bitcoin assets under management with $27.6 billion in spot-like products.
Bitcoin is often called digital gold, so there are bound to be comparisons to gold ETFs listed in the early 2000s. Currently, gold ETFs hold only 1.6% of the total global gold supply, NYDIG points out, compared to central banks at 17.1%, while bitcoin funds hold 4.9% of the total bitcoin supply.
There’s a massive gulf in demand for the digital and analog version of the asset in funds: there’s over $210 billion invested in gold funds while only $28.8 billion in bitcoin funds.
“Bitcoin is about 3.6x more volatile than gold, meaning that on a volatility equivalent basis, investors would require 3.6x less bitcoin than gold on a dollar basis to get as much risk exposure. Still, that would result in nearly $30B of incremental demand for a bitcoin ETF,” NYDIG writes.
The newsletter Ecoinometrics has a on a bitcoin ETF.
GLD ETF filled a significant void in the market, Ecoinometrics writes, providing an easily tradable product that tracked the price of physical gold.
However, comparisons between gold ETFs and bitcoin ETFs are potentially misleading as the significant rise of gold during that time was largely due to a favorable macro environment and a weakening dollar. Remember the war on terror, China’s rise, and the beginning of a ballooning U.S. deficit all packed into a decade?
"So while the GLD ETF definitely didn’t hurt and probably brought some nice inflow to the gold market, macro was really in the driver’s seat over that period," they write. "A spot Bitcoin ETF can help with drumming up more interest into Bitcoin and will undoubtedly attract some fresh money into the space. But that won’t make one Bitcoin worth $100k single-handedly."
The real potential for a Bitcoin ETF lies in a convergence of factors: the launch of the ETF, a weaker US dollar, a Federal Reserve move towards Quantitative Easing, and a generational wealth transfer to younger individuals more likely to invest in crypto, they write.
And now,
Edited by Omkar Godbole and Parikshit Mishra.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Zcash News Today: Meme Coin Magic: Investors Transform Profits Into AI Fortunes
- Investors are shifting meme coin profits to AI ventures, dubbed the "Ozak Flip," blending speculation with tech innovation. - Zcash (ZEC) surged near $600 ahead of its OKX re-listing, acting as a bridge between volatile crypto liquidity and AI projects. - C3.ai's 35% stock surge follows Microsoft partnerships and enterprise AI adoption, though earnings forecasts remain mixed. - Market parallels emerge in speculative assets like Belpointe PREP and Nutanix , highlighting risks and long-term potential in hi

YFI Drops 48.18% Over the Past Year as Overall Market Conditions Worsen
- YFI dropped 48.18% annually as of Nov 29, 2025, with 12.02% monthly losses amid broader crypto market weakness. - Lack of project updates, partnerships, or regulatory changes left YFI's price directionless, driven solely by macroeconomic trends. - Analysts warn continued downward pressure until concrete developments emerge to restore investor confidence in the token. - Market consolidation and risk-averse investor behavior further suppress YFI, which remains below key psychological price levels.

Amid Investigation, Major Crypto Firms Contribute $32 Million to Hong Kong Fire Recovery Efforts
- Binance and crypto firms donated HK$32 million to aid Hong Kong fire victims, marking the industry's largest disaster relief effort. - The deadly Tai Po blaze killed 128 people, sparking debates over unsafe bamboo scaffolding and building safety reforms. - Crypto donations highlight the sector's growing humanitarian role, supported by Hong Kong regulators and public sentiment. - Funds will address immediate rescue needs and long-term reconstruction, reinforcing crypto firms' image as socially responsible

Silicon Valley's surge in baby technology faces challenges related to affordability, ethical concerns, and unequal access
- Silicon Valley's AI-driven biotech sector is accelerating growth in the U.S. artificial insemination market, projected to expand from $0.76B to $1.41B by 2033. - Financial barriers persist as limited insurance coverage forces patients to pay full treatment costs, hindering market accessibility according to 2025 analysis. - Tech giants like Synopsys and ABVC BioPharma are advancing AI tools and domestic pharmaceutical development to optimize reproductive technologies and supply chains. - Fertility clinics

