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Charles Schwab, a global financial behemoth with $8 trillion in assets under management, appears to be considering joining the spot Bitcoin exchange-traded fund (ETF) market.
This follows the recent approval by the U.S. Securities and Exchange Commission (SEC) of similar products from companies such as BlackRock, Fidelity, and Grayscale.
Despite entering the market later, Charles Schwab could leverage its substantial client base of nearly 35 million customers to introduce them to this emerging institutional Bitcoin investment option.
Currently, Schwab's platform allows customers to invest in available spot Bitcoin ETFs, but the company has yet to launch a spot Bitcoin ETF under its own brand.
Bloomberg's senior ETF analyst, Eric Balchunas, speculated to RIABiz that Charles Schwab could potentially surprise the market with a competitively priced offering in the coming months.
He also noted that the firm is not under immediate pressure to enter the market but stands a strong chance of success due to its loyal customer base and competitive pricing.
Balchunas suggested that, learning from early issuers, Charles Schwab is likely to offer more affordable ETF options compared to its rivals.
Some industry observers, like Nate Geraci, co-founder of The ETF Institute, view Charles Schwab's entry into the spot Bitcoin ETF market as inevitable as well, expressing this view on X.