VanEck’s Journey with Bitcoin
15 January 2024
Explore Bitcoin’s major milestones and VanEck’s door-opening efforts to integrate it into mainstream investing.
From its early days as a fringe concept, Bitcoin has grown to become , capturing the attention of investors worldwide. We often refer to Bitcoin as “digital gold” because, like the metal, it is a potential store of value with limited supply, has portfolio diversification benefits, and offers the potential to hedge against inflation.
Just as VanEck has been at the since the firm’s inception, VanEck has played a pivotal role in shaping the as a strategic allocation in investment portfolios.
A Timeline of VanEck’s Journey with Bitcoin
2009: The Dawn of Bitcoin
Bitcoin was introduced to the world by an anonymous entity, Satoshi Nakamoto. Just as gold has been a store of value for centuries, Bitcoin was designed to be a decentralized digital currency, free from governmental oversight.
In the same way that the discovery of gold redefined wealth, the birth of Bitcoin crafted by the mysterious Satoshi Nakamoto, marked a new era in Digital currency – decentralized and beyond the reach of the traditional financials system.
2010: Bitcoin’s humble first transaction
Bitcoin’s first foray into the commercial world was the now legendary purchase of two pizzas for 10,000 BTC, a transaction that would be worth millions today.
2013: Bitcoin breaks the $1,000 barrier
Bitcoin's price soared to $1,000, signaling its arrival on the global financial stage, capturing the imagination of investors worldwide.
2017: VanEck’s bold entry into crypto
With a visionary approach akin to our pioneering stance in gold investing, VanEck stepped into the digital assets arena. Recognizing digital assets as a blend of technology and value preservation, VanEck starts to provide educational resources to help investors better understand Bitcoin, cryptocurrencies and other digital assets, and the role they play within a portfolio.
2017: Bitcoin’s meteoric rise and futures trading
In a parallel to gold’s historic bull run, Bitcoin’s price skyrocketed to nearly $20,000. The advent of Bitcoin futures trading marked a new chapter in investment history, blending tradition with innovation.
2017: VanEck becomes first ETF issuer to file for futures-based Bitcoin ETF
On August 11, 2017, VanEck filed an S-1 for a Bitcoin futures ETF, becoming the first ETF issuer to file for an ETF that would invest in Bitcoin futures.
2017: VanEck subsidiary MarketVector Indexes unveils digital assets benchmark indexes
On October 23, 2017, MarketVector launched a series of digital assets indexes designed to track the performance of the otherwise fragmented global digital assets markets, becoming the first regulated index provider to meet investment industry benchmarking standards for digital assets indexes.
2018: VanEck files for spot Bitcoin ETF
On June 6, 2018, in a bold move, VanEck filed for a spot Bitcoin ETF (in partnership with SolidX), aiming to provide investors with a seamless and efficient way to access bitcoin. We believe spot ETFs give investors a more efficient vehicle in which to gain direct Bitcoin exposure via a traditional broker, without paying roll costs associated with futures. The SEC subsequently rejected all spot BTC ETF applications due to concerns of “market manipulation.”
2020: The Bitcoin halving – a testament to scarcity
The Bitcoin halving event, a built-in feature that underscores its finite nature, brings attention to the scarcity that has long underpinned the value of gold.
2020: VanEck launches spot Bitcoin ETN in Europe
Expanding the global footprint, the firm’s European arm launches the VanEck Bitcoin ETN (VBTC) on November 19, 2020. VBTC offers European investors a hassle-free way to gain bitcoin exposure, a testament to our commitment to accessibility and innovation.
2021: Expanding VanEck’s digital assets expertise
In 2021, VanEck brought together its , bringing on board more crypto natives, underscoring our dedication to leading the charge in the evolving world of digital assets.
2021: El Salvador adopts Bitcoin as legal tender
became the first country to allow Bitcoin to be used in any transactions. Bitcoin joins the US dollar, which the country had adopted in 2021, as legal tender, and as part of the initiative, the Salvadoran government launched a digital wallet to promote the use of Bitcoin.
2021: MarketVector establishes sector classification system for digital assets
MarketVector created the in order to provide an efficient investment tool for capturing the breadth, depth, and progress of crypto sectors.
2021: VanEck’s strategic investment in Cadenza Ventures Crypto Fund
VanEck led a $50M raise for Cadenza Ventures Crypto Fund, showcasing our commitment to nurturing the growth and innovation in crypto platforms and blockchain technologies internationally.
2021: VanEck launches Bitcoin Strategy ETF
The introduction of the marked another milestone, offering investors an avenue to Bitcoin futures, blending traditional investment structures with cutting-edge assets.
2022: VanEck introduces the first NFT to be launched by an asset manager
On 5/2/2022, VanEck broke new ground by launching and distributing the VanEck Community NFT. A first among asset managers, offering not just a digital asset but a gateway to an exclusive, utility-rich community.
2023: VanEck launches Ethereum Strategy ETF
With the launch of the , VanEck not only expanded its crypto offerings but also pledged10% of EFUT’s proceeds to the Protocol Guild, supporting Ethereum core development for 10 years, marrying innovation with social responsibility
2023: VanEck and the industry await potential approval of a spot Bitcoin ETF
U.S. Securities and Exchange Commission (SEC) provides comments on outstanding spot Bitcoin ETF applications for the first time, raising optimism for an eventual approval.
VanEck’s Long-Term Commitment to Bitcoin
Just as VanEck was a pioneer in gold investing, the firm has taken significant strides in bringing Bitcoin to a broader investor audience. By providing educational content, advocating for regulation, and introducing innovative investment vehicles, VanEck continues to play a pivotal role in the integration of Bitcoin into traditional investment portfolios. As we embrace this era of digital gold, VanEck remains committed to empowering investors with the knowledge and tools needed to navigate this exciting and dynamic asset class.
To receive more Digital Assets insights, subscribe for our Crypto Newsletter
Important Information
This is not financial research but the opinion of the author of the article. We publish this information to inform and educate about recent market developments and technological updates, not to give any recommendation for certain products or projects. The selection of articles should therefore not be understood as financial advice or recommendation for any specific product and/or digital asset. We may occasionally include analysis of past market, network performance expectations and/or on-chain performance. Historical performance is not indicative for future returns.
For informational and advertising purposes only.
This information originates from VanEck (Europe) GmbH, Kreuznacher Straße 30, 60486 Frankfurt am Main. It is intended only to provide general and preliminary information to investors and shall not be construed as investment, legal or tax advice. VanEck (Europe) GmbH and its associated and affiliated companies (together “VanEck”) assume no liability with regards to any investment, divestment or retention decision taken by the investor on the basis of this information. Views and opinions expressed are current as of the date of this information and are subject to change with market conditions. Certain statements contained herein may constitute projections, forecasts and other forward looking statements, which do not reflect actual results. VanEck makes no representation or warranty, express or implied regarding the advisability of investing in securities or digital assets generally or in the product mentioned in this information (the “Product”) or the ability of the underlying Index to track the performance of the relevant digital assets market.
The underlying Index is the exclusive property of MarketVector Indexes GmbH, which has contracted with CryptoCompare Data Limited to maintain and calculate the Index. CryptoCompare Data Limited uses its best efforts to ensure that the Index is calculated correctly. Irrespective of its obligations towards the MarketVector Indexes GmbH, CryptoCompare Data Limited has no obligation to point out errors in the Index to third parties.
Investing is subject to risk, including the possible loss of principal up to the entire invested amount and the extreme volatility that ETNs experience. You must read the prospectus and KID before investing, in order to fully understand the potential risks and rewards associated with the decision to invest in the Product. The approved Prospectus is available at www.vaneck.com . Please note that the approval of the prospectus should not be understood as an endorsement of the Products offered or admitted to trading on a regulated market.
Performance quoted represents past performance, which is no guarantee of future results and which may be lower or higher than current performance.
Current performance may be lower or higher than average annual returns shown. Performance shows 12 month performance to the most recent Quarter end for each of the last 5yrs where available. E.g. '1st year' shows the most recent of these 12-month periods and '2nd year' shows the previous 12 month period and so on. Performance data is displayed in Base Currency terms, with net income reinvested, net of fees. Brokerage or transaction fees will apply. Investment return and the principal value of an investment will fluctuate. Notes may be worth more or less than their original cost when redeemed.
Index returns are not ETN returns and do not reflect any management fees or brokerage expenses. An index’s performance is not illustrative of the ETN’s performance. Investors cannot invest directly in the Index. Indices are not securities in which investments can be made.
No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of VanEck.
© VanEck (Europe) GmbH
Important Disclosure
This is a marketing communication. Please refer to the prospectus of the UCITS and to the KID before making any final investment decisions.
This information originates from VanEck (Europe) GmbH, which has been appointed as distributor of VanEck products in Europe by the Management Company VanEck Asset Management B.V., incorporated under Dutch law and registered with the Dutch Authority for the Financial Markets (AFM). VanEck (Europe) GmbH with registered address at Kreuznacher Str. 30, 60486 Frankfurt, Germany, is a financial services provider regulated by the Federal Financial Supervisory Authority in Germany (BaFin).
The information is intended only to provide general and preliminary information to investors and shall not be construed as investment, legal or tax advice VanEck (Europe) GmbH, VanEck Switzerland AG, VanEck Securities UK Limited and their associated and affiliated companies (together “VanEck”) assume no liability with regards to any investment, divestment or retention decision taken by the investor on the basis of this information. The views and opinions expressed are those of the author(s) but not necessarily those of VanEck. Opinions are current as of the publication date and are subject to change with market conditions. Certain statements contained herein may constitute projections, forecasts and other forward-looking statements, which do not reflect actual results. Information provided by third party sources is believed to be reliable and have not been independently verified for accuracy or completeness and cannot be guaranteed. Brokerage or transaction fees may apply.
All performance information is based on historical data and does not predict future returns. Investing is subject to risk, including the possible loss of principal.
No part of this material may be reproduced in any form, or referred to in any other publication, without express written permission of VanEck.
© VanEck (Europe) GmbH / VanEck Asset Management B.V.
