Bitcoin-ETF (Exchange-Traded Fund) is an investment tool that allows traders and investors to purchase Bitcoin through traditional stock markets, bypassing the need to buy the cryptocurrency directly. A Bitcoin ETF reflects the value of the cryptocurrency itself, which enables profitable investments without dealing with issues related to storage or security.
The impact of Bitcoin ETFs on the cryptocurrency market is significant. It facilitates access to the digital asset for a broader range of investors, including institutional players. This contributes to increased liquidity and rising Bitcoin prices. In turn, such changes can enhance market stability and foster a more mature state of the crypto ecosystem.