Cointelegraph spoke with Leah Wald, CEO of digital asset investment firm Valkyrie Investments, to learn more about the importance of a Bitcoin (BTC) exchange-traded fund (ETF) and the future of digital assets.
For context, Valkyrie Investments launched in 2020 and is one of the only asset managers to have three Bitcoin-adjacent ETFs traded on the Nasdaq. Valkyrie launched a Bitcoin Strategy ETF in October 2021 that offered indirect exposure to BTC with cash-settled futures contracts following US Securities and Exchange (SEC) approval for a similar ProShares ETF. Valkyrie also has a Balance Sheet Opportunities ETF that invests in public companies exposed to Bitcoin. Additionally, the investment firm’s Bitcoin Miners ETF began trading on the Nasdaq on February 8, 2022, under the ticker symbol WGMI.
According to Wald, Valkyrie focuses on “demystifying bitcoin investing” for new investors. “We want to make sure everyone can participate in this ecosystem,” Wald told Cointelegraph.
Additionally, Wald explained the importance of a Bitcoin ETF, noting that this topic has been important ever since the Winklevoss twins first filed a Bitcoin trust. Wald said a Bitcoin ETF finally enables access to an asset class for many people who didn’t have access before. Wald also said that there are various ETFs, such as the Valkyrie futures-based ETF and thematic ETFs. While Wald stressed that we “shouldn’t hold our breath” for a Bitcoin spot ETF — which she calls the “holy grail” — she said it’s Valkyrie’s mission to secure an ETF eventually. bitcoin spot, noting that the company is “fighting hard and working with regulators” to make it happen.
In addition to his thoughts on ETFs, Wald commented on how the traditional world of finance may view Bitcoin and digital assets. “The most common question is always about volatility and how to allocate accordingly,” Wald said. She added that typical portfolio structures are considered “layered” or narrow, which is why the traditional financial world requires a new paradigm shift.
Wald further pointed out that some of the basic questions she received focus on what Bitcoin is, or if Ether (ETH) is the same as Bitcoin. “I think sometimes in our industry we think and expect a lot of people to be as far down the rabbit hole as we are, but some of the conversations are still at the most basic level,” he said. she declared.
Cointelegraph recently asked Wald about Valkyrie who passed $1 billion in assets under management. While impressive, Wald thinks this shows how quickly institutional interest in digital assets is growing. She noted that this represents a “marked difference” from Valkyrie’s 2021 launch. As such, Wald explained that this signals large pools of wealth entering the crypto sector.
Before wrapping up the interview with Wald, Cointelegraph asked the executive to share his price prediction for Bitcoin this year. While she mentioned that she is clearly bullish on Bitcoin, Wald predicts that BTC will hit $70,000 by the end of 2022. “We are very bullish for the second half of the year and especially for the fourth trimester. It looks like we should just hold on, but we’re aiming for $70,000 by the end of the year.