Senior figures from CoinShares, Calamos, ProShares, and Flow Traders have identified custody concentration, advisor adoption, and settlement efficiency as key challenges remaining in the spot Bitcoin ETF ecosystem, according to panel discussion.
Key Challenges Identified
Three primary issues were flagged by the panelists:
Custody Concentration: The concentration of Bitcoin custody at Coinbase was cited as a significant concern, highlighting dependency risk within the ecosystem.
Advisor Uptake: Modest adoption rates among financial advisors represent a barrier to broader institutional participation in spot Bitcoin ETF products.
Creation-Flow Inefficiency: Inefficiencies in the creation and redemption flow process were identified as an operational problem requiring resolution.
These challenges emerge as secondary obstacles following the resolution of primary access issues that spot Bitcoin ETFs initially addressed.