Over the past few weeks, we’ve been covering cryptocurrencies heavily in Smart Profits Daily — and for good reason.
It’s because cryptos are quickly becoming mainstream.
During the crypto bull market in 2017, Wall Street scoffed at the idea of mass cryptocurrency adoption.
But now, a major development is underway that is bringing crypto exposure to the U.S. stock market.
Demand for Crypto Solutions
S&P Dow Jones Indices is launching a series of cryptocurrency indexes in 2021.
This division of S&P Global maintains major indexes such as the S&P 500 Index and the Dow Jones Industrial Average.
By partnering with digital asset data provider Lukka, S&P Dow Jones Indices has shown it is committed to creating a reliable benchmark for cryptocurrencies.
And the timing couldn’t be better. Institutional interest is increasing rapidly, which is creating demand for crypto solutions.
The launch of indexes is a major step toward the creation of a tradeable cryptocurrency exchange-traded fund (ETF).
For nearly every index, there are investment vehicles that track them.
Passive ETFs such as the SPDR S&P 500 ETF Trust (NYSE: SPY) and the Invesco QQQ Trust (Nasdaq: QQQ) track the S&P 500 and Nasdaq 100 Index, respectively. When investors buy these ETFs, it creates demand for the underlying stocks in the indexes.
Passive fund assets under management have nearly tripled over the past seven years, from $3.2 trillion to $9 trillion.
(Source: Bloomberg.)
The launch of a crypto ETF would lead to a similar scenario, sending cryptocurrencies soaring.
The Crypto Investment Opportunity Continues to Get Brighter
With 550 cryptocurrencies included in the indexes, there are plenty of opportunities to make huge gains.
If only 5% of passive-fund assets are allocated to crypto ETFs, it would add $450 billion to the crypto market.
If you add active-fund assets into the mix and allocate 5%, a total of $1.1 trillion would be invested into cryptos.
This would triple the total cryptocurrency market cap.
(Source: CoinMarketCap.)
As you can see, the crypto investment opportunity continues to get brighter.
Certain cryptocurrencies are headed toward astronomical highs, minting an entirely new generation of millionaires.
That’s why, on December 17, Ian King is presenting a special event called Next Wave Crypto Fortunes.
Click here to enjoy exclusive, first-look VIP access to this event.
Regards,
Analyst, Automatic Fortunes