Bitcoin staking Layer-1 network Core is planning to enter the U.S. exchange-traded fund (ETF) market within the next five years, according to Rich Rines, Initial Contributor to Core.
“We brought the first yield-bearing ETPs to market earlier this year, and that was a feat no one else has matched,” Rines told Decrypt. “This is just the start of the institutional story for Core. We’re aiming to roll out ETFs in the U.S. as soon as regulatory frameworks allow it.”
Core’s entry into yield-bearing Bitcoin Exchange-Traded Products (ETPs) began in June 2024, when Valour, a subsidiary of DeFi Technologies, launched the first such product on the Börse Frankfurt stock exchange. This ETP, offering a 5.65% yield through non-custodial BTC staking, provided an alternative way for investors to earn returns on their Bitcoin holdings.
However, the broader landscape for crypto-based ETFs, particularly in the U.S., remains complex. While interest in digital assets is growing, the regulatory framework in the U.S. has yet to fully adapt to accommodate such products. “We’re aiming for U.S. ETFs within five years, depending on how the regulatory apparatus evolves,” Rines said.
Messari’s Q2 2024 report notes that the platform’s DeFi TVL increased by 1,032% to $76.4 million. Much of this growth has been driven by Core’s non-custodial BTC staking product, which launched in April 2024. This feature allows Bitcoin holders to earn yield while retaining control of their assets, a concept that has resonated with both retail and institutional investors.
Core says it's leveraging its hybrid Satoshi Plus consensus model, which combines Bitcoin miner hash rate delegation with staking, to ensure security and scalability for its platform. This model enables Core to offer both security to its users and yield opportunities through products like non-custodial BTC staking for those seeking alternative ways to generate returns on Bitcoin.
As Core seeks to expand, Rines hinted at future product developments beyond Europe. “There’s going to be several of these ETPs that we’ll take throughout the rest of the world later this year and next,” he said, suggesting a broader push into international markets as Core prepares for potential ETF offerings in the U.S..
Edited by Stacy Elliott.