Over $1.2 billion has flown into US spot bitcoin ETFs, a figure that experts predict will surge dramatically as more investors start investing in these funds. However, Alex Thorn, the head of research at Galaxy Digital, notes that the “primary market” for these ETFs – particularly the wealth management industry that manages around $48 trillion in assets – remains hesitant to invest client money in them. Thorn points out that the majority of US wealth management assets are linked with banks or broker-dealers, which have not yet incorporated bitcoin ETFs into their selection of investment choices, as he explained to Blockworks. It will occur eventually, though it requires time. Approximately four out of every five financial advisors, according to a survey conducted by Bitwise and VettaFi towards the end of the previous year, indicated that they either lacked the capability to purchase cryptocurrency on behalf of their clients or were uncertain about their ability to do so. The survey participants spanned a range of financial professionals, encompassing standalone registered investment advisers (RIAs), affiliates of broker-dealers, financial planning experts, and various institutional investors. Almost 90% of the advisors who were considering incorporating bitcoin into their clients’ investment strategies indicated they preferred to proceed with this addition once a spot bitcoin exchange-traded fund (ETF) received regulatory approval. For further information: The SEC has made a historic decision to grant approval to spot bitcoin ETFs. Ric Edelman, the founder of Edelman Financial Services and the Digital Assets Council of Financial Professionals, stated that large brokerage firms, often referred to as wirehouses, like Bank of America Merrill Lynch, Morgan Stanley, and Wells Fargo, tend to be the most sluggish in adopting new products. According to Edelman in a comment to Blockworks, this is because these big institutions have investment committees that require time to evaluate and decide on which new offerings to sanction for their usage. At the same time, the company’s legal and compliance officials are responsible for creating policies that dictate which of their consultants are allowed to propose these offerings, as well as identifying which clients are eligible to invest in them and determining the investment limits for each client. Edelman noted that although independent Registered Investment Advisers (RIAs) have greater flexibility in directing fresh capital, most of them are not likely to do so right away. Edelman pointed out that many financial advisors lack a complete grasp of cryptocurrency and blockchain technology, and they need to learn how to clarify these complex subjects for their customers. He stated that it is only when advisors overcome this initial challenge that they can begin to address the more strategic and significant issues.