VanEck HODL and Valkyrie BRRR in a shifting ETF market

SEC delays and the options market

The SEC postponed decisions on options for spot Bitcoin ETFs, including filings from Cboe Exchange, Inc., BOX Exchange LLC, MIAX International Securities Exchange LLC, Nasdaq ISE, LLC, and NYSE American LLC. These delays follow previous actions by the agency earlier this month. The SEC previously delayed deciding on next steps for options trading earlier this month. Michael Sonnenshein, the CEO of Grayscale, stated in a February comment letter that approving options on spot Bitcoin ETPs represents the natural next step after the approval of spot gold ETPs. The SEC also asked for public comments regarding whether options on specified Bitcoin ETPs should follow the same rules as stocks or face different position limits. The agency posed questions about whether the available supply in the markets for Bitcoin should be considered in establishing position limits for options on Bitcoin ETPs. This regulatory friction happens while Bitcoin maintains stability around the low $90,000s, having briefly surpassed $93,000. Can the regulatory framework catch up to the pace of institutional demand?

ETF inflow competition

While the SEC continues its pattern of delays regarding options trading, Bitcoin ETFs in the United States saw over $1.2 billion in inflows during the first two trading days of 2026, a figure that surpassed the $21 billion net inflows seen throughout 2025. A single-day net inflow recently reached $697 million, which was the highest in three months. BlackRock’s iShares Bitcoin Trust (IBIT) captured a large share of the previous year’s buying, though the fund also experienced its largest daily outflow since its launch. WisdomTree Bitcoin Fund (BTCW) stood out as one of the few exceptions with lower demand. Morgan Stanley filed to offer Bitcoin and Solana ETFs to allow advisors to allocate to these products. The firm manages around $8 trillion in advisory assets. This surge in interest coincided with the rise in Bitcoin prices above $90,000, which led to increased trading volume and position closures. Price support for the asset came from short position liquidations and risk asset rebounds. Bloomberg Intelligence analysts estimate a 90% likelihood of a Bitcoin ETF receiving approval by January. Coinbase expressed its preparedness to respond swiftly if a spot Bitcoin ETF is approved.

Fee structures and institutional reach

The ETF market clearly favors low-fee providers to attract capital. Grayscale’s GBTC carries a 115 bps fee. This fee makes the product five times more expensive than others. This high cost leads to major outflows from the trust. In contrast, BlackRock’s IBIT has a 25 bps fee, and the ARK 21Shares Bitcoin ETF (ARKB) charges 21 bps. Valkyrie Bitcoin Fund (BRRR) and VanEck Bitcoin Trust (HODL) operate alongside these established players. The Judiciary branch’s intervention influenced the decision to approve 11 Bitcoin ETFs rather than a change in regulatory position. The SEC approved 11 spot Bitcoin ETFs in January, which brought a cumulative total net inflow of $12.38 billion. High-net-worth individuals hold $85 trillion in assets, 13% of which is in Alternatives. If crypto captures 1% of this channel, the total reaches $850 million. If it captures 5%, the amount hits $4.25 trillion. You should observe the movement of these funds through traditional distribution channels like Envestnet.