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Bank of America and Wells Fargo add spot Bitcoin ETFs to their offerings

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Two Wall Street wealth managers will back spot Bitcoin ETFs nearly two months after the products launched on major U.S. exchanges.

Bank of America’s Merrill Lynch and Wells Fargo will allow customers with brokerage accounts to trade Bitcoin ETFs (BTC) for spot following multi-billion demand eight weeks after they became available. Bloomberg was the first to report the news, citing unnamed sources with intimate knowledge of the matter.

Spot Bitcoin ETF issuers include some of the largest asset managers in the United States, such as BlackRock and Fidelity. However, traditional phone companies and banks initially refrained from offering this product to their customers. Vanguard, Citi Bank and UBS boycotted the Bitcoin-backed investment vehicle upon its launch, crypto.news previously reported.

Regardless, spot Bitcoin ETF providers have accumulated over $20 billion in assets under management (AUM), buoyed by rising Bitcoin prices. The token is up nearly 50% this year as the ETF wrapper attracts capital from retail investors, hedge funds and other capital controllers.

Spot Bitcoin ETF
BTC Chart | Source: TradingView

Spot Bitcoin ETFs Capture Trade Players

Citigroup and UBS began allowing some clients to purchase Bitcoin ETFs for cash on exchanges in January. Merrill Lynch and Wells Fargo will also offer Bitcoin exposure to clients who request it.

Another Wall Street stalwart, Morgan Stanley, is reportedly considering allowing its clientele access to spot trading of BTC ETFs. Matt Hougan, Bitwise’s chief investment officer, told CNBC that more trading giants will likely enter the market, bringing billions of dollars of capital set aside into Bitcoin through ETFs.

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