Investment Company Wealthfront Allows BTC and Eth Exposure

by in Cryptocurrency News

wealthfront bitcoin and ethereum exposure

SEC-registered automated investment services and advisory provider Wealthfront informed about expanding its investment options, including two crypto trusts: Grayscale Bitcoin Trust and Grayscale Ethereum Trust.

Related: Banco de Bogotá let clients to send funds to crypto exchange

As the firm stated via a blog post published on July 29, its aim was to provide investors a simpler way to get crypto exposure, that doesn't require buying coins but investing in GBTC and ETHE. GBTC holds over $25.5 B and ETHE over $7.4 B in AUM presently.

Investors can add the products to their portfolios and choose a total amount of up to 10% of their total portfolios.

According to the company, the 10% limit is meant to reduce risks connected with the assets' volatility.

Wealthfront manages $21 B assets under management. It became the first investment manager to provide crypto exposure as a component of a diversified funds’ accessibility, also allowing automated functions like tax-efficient rebalancing and tax-loss harvesting service. These functions aim to maximize the profits of clients.

Wealthfront mentioned that with the recent additions including crypto it has become a place for all investments. The company also noted plans to expand its investment options. However, it’s uncertain if they will include crypto-related products or not.