ProShares Says Bitcoin ETF Has Matched BTC Price Closely, ‘Roll Cost’ Concerns Are Unwarranted

proshares says bitcoin etf has matched btc price closely roll cost concerns are unwarranted

From the very beginning, observers speculated BITO and other futures-based ETFs would significantly underperform bitcoin due to costs associated with rolling over, or selling expiring futures contracts and buying the next set. Usually, longer-dated futures contracts trade at a premium to those closer to expiry, a condition known as contango. The contango tends to steepen during bull runs, and the steeper the contango, the higher the costs, and the so-called contango bleed.

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