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Peter Schiff Trashes Bitcoin ETF Hype

Published 09/05/2024, 11:54 AM
Updated 09/05/2024, 03:30 PM
© Reuters Peter Schiff Trashes Bitcoin ETF Hype

U.Today - Well-known financial expert and investor Peter Schiff has once again taken aim at Bitcoin ETFs, saying that their recent performance shows that the hype surrounding them is misguided.

In a recent post, Schiff pointed out the big difference in returns between Bitcoin and gold ETFs. While the first ones have seen modest gains of less than 17% since they launched in January, the ETF on precious metal is up over 24% despite significant outflows. In Schiff's opinion, this shows investors made a mistake by favoring Bitcoin ETFs.

However, the expert has long been critical of Bitcoin ETFs. The investor has been saying for a while now that cryptocurrencies are fundamentally flawed assets with no intrinsic value. His latest comments also come at a tough time for the industry, as the price of Bitcoin keeps struggling.

More pain

Schiff's gloating comes as spot Bitcoin ETFs continue to face net outflows. Yesterday, Sept. 4, these ETFs saw a total net outflow of $37.29 million, marking six days in a row of outflows. Grayscale's GBTC ETF, which used to be a big player in the space, saw a net outflow of $34.25 million on the same day. That brings its total historical net outflows to a whopping $19.94 billion.

On the other side, the Bitwise ETF BITB managed to attract a net inflow of $9.46 million on Sept. 4, but it was not enough to offset the overall outflow trend.

This article was originally published on U.Today

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