Investopedia Analysis:

By Timothy Smith, published Oct.25,2023

  • Bitcoin and ether futures ETFs deliver exposure to the price of these cryptocurrencies by holding futures contracts that track their currency price.
  • Key differences between Bitcoin and ether futures ETFs include the underlying blockchain technology, the specific purposes of each cryptocurrency, and the amount of liquidity.
  • Several advantages of Bitcoin and ether futures ETFs include their accessibility, their place in regulation markets, portfolio diversification, and institutional adoption.
  • Key disadvantages of Bitcoin and ether futures ETFs include their reliance on futures contracts, tracking errors, increased volatility, and lower liquidity.