Crypto ETFs Gain Ground

Almost half of all investors are planning to buy cryptocurrency-related ETFs, according to a new report from Schwab Asset Management. The finding is surprising — interest in crypto investments now rivals that of bond funds.

The survey, which polled 2,000 investors aged 25 to 75, found that 52% plan to invest in ETFs tied to U.S. stocks, while 45% are considering funds tracking the cryptocurrency market. The same share — 45% — intend to invest in bond ETFs.

Bloomberg analyst Eric Balchunas called the results “shocking,” noting that crypto assets currently account for only about 1% of total ETF holdings, compared to 17% for bonds. In his view, investor enthusiasm for digital assets is disproportionately high relative to their actual market share.

Millennials (born between 1981 and 1996) are the most enthusiastic about crypto ETFs — 57% of them say they plan to invest in such funds. By comparison, only 41% of Generation X investors (born 1965–1980) and 15% of baby boomers (born 1946–1964) expressed similar interest.

According to Schwab’s report, the growing popularity of ETFs is driven mainly by their low costs and easy accessibility. A striking 94% of respondents believe ETFs help reduce investment expenses. Half also agree that these instruments provide a way to explore more niche or alternative strategies, beyond their core portfolios.

David Botset of Schwab Asset Management emphasizes that the investment landscape is evolving rapidly. ETFs — which now outnumber individual stocks in the U.S. — allow investors not only to build low-cost core portfolios but also to gain exposure to new asset classes and innovative strategies.