In short
- Wall Road large Cantor Fitzgerald goes to introduce a Bitcoin-focused fund with with draw back safety primarily based on gold’s value.
- The fund goals to handle some buyers’ fears about Bitcoin’s volatility.
- Cantor has been vocal in its embrace of cryptocurrency funding merchandise.
Wall Road large Cantor Fitzgerald is debuting a brand new Bitcoin-focused fund with draw back safety primarily based on the value of gold, the monetary companies agency introduced Thursday.
Talking later within the day on the Bitcoin 2025 convention in Las Vegas, Nevada, Cantor CEO Brandon Lutnick mentioned that by balancing Bitcoin’s volatility with the valuable steel’s relative stability, the fund would handle buyers afraid of the cryptocurrency’s frequent dramatic value drops.
“We’re launching a gold-backed Bitcoin fund with the concept that there are nonetheless individuals on the earth which are afraid of Bitcoin, and we wish to convey them into this ecosystem,” he mentioned.
He added: “We’re going to present them upside whereas giving them draw back safety secured by bodily gold.”
An announcement from the agency mentioned the fund “goals to ship uncapped upside participation in Bitcoin, whereas offering 1-to-1 draw back safety primarily based on the value of gold.”
Will probably be obtainable to buyers within the coming weeks, the agency mentioned however didn’t specify a date.
Bitcoin has risen almost 14% this 12 months and buyers in current days have handled it more and more as a risk-off asset. However its path upward has included a number of drops. It rose to a report $109,000 in mid January across the time of U.S. President Donald Trump’s inauguration, sank under $75,000 in April and set a brand new all-time excessive earlier this month above $112,000 earlier than retreating over the previous few days to its present stage under $106,500.
Gold has been steadier and is up greater than 25% in 2025, buying and selling above $3,340. It set a report excessive close to $3,450 per ounce in April and is at the moment buying and selling at about $3,300.
Crypto-focused funds have been among the many fastest-growing with 11 spot Bitcoin exchange-traded funds that started buying and selling solely final 12 months producing greater than $45 billion in belongings, in line with information from U.Okay. asset supervisor Farside Buyers.
The recognition of these funds, that are primarily based on the continuing efficiency of BTC, have helped spawn a flurry of merchandise and proposed funds primarily based on altcoins. Spot Ethereum funds have obtained greater than $2.9 billion in web investments.
Cantor was among the many early, vocal Wall Road supporters of Bitcoin. The agency helps custody the Treasury reserves for stablecoin large Tether’s USDT product.
Brandon Lutnick spoke with Tether’s CEO Paolo Ardoino at Bitcoin 2025, praising the stablecoin’s “real-world use circumstances.”
Edited by James Rubin
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