Bitcoin innovator Cantor prepares to introduce a novel product, infused with a touch of gold security.
Wall Street titan Cantor Fitzgerald unveils its latest venture: a gold-backed Bitcoin fund, aiming to upend investor apprehensions about the cryptocurrency's volatility. The new fund, set for release in the coming weeks, offers a unique form of downside protection, offsetting potential Bitcoin losses with the relative stability of gold's price.
During a speech at the Bitcoin 2025 conference in Las Vegas, Cantor CEO Brandon Lutnick elucidated that the fund is intended to attract crypto-wary investors. "We aim to bring these individuals into the ecosystem, providing upside potential while securing downside protection through physical gold," said Lutnick.
According to the company statement, the fund's objective is to offer uncapped Bitcoin growth potential, lightly tethered to the price of gold for balancing risks. The downside protection mechanism is anticipated to yield 1-to-1 compensation should Bitcoin's price incur a loss.
In the first quarter of 2025, Bitcoin has demonstrated a nearly 14% increase, often acting as a risk-off asset. While the cryptocurrency's value has surged and slumped repeatedly, Gold has maintained a steadier trajectory, rising more than 25% within the same timeframe.
With a growing emphasis on innovative cryptocurrency funds, recent financial data shows that 11 exchange-traded Bitcoin funds that went live last year amassed over $45 billion in assets [1]. The popularity of these funds has inspired a wave of altcoin-focused products, with Ethereum funds garnering over $2.9 billion in investments.
Cantor Fitzgerald is no stranger to the cryptocurrency market, having supported Bitcoin and the stablecoin Treasury reserves for Tether's USDT product. During the Bitcoin 2025 conference, Lutnick conversed with Tether's CEO Paolo Ardoino, lauding the stablecoin's practical applications [2].
Edited by James Rubin
- Cantor Fitzgerald's new gold-backed Bitcoin fund, aimed at reducing investor apprehensions about cryptocurrency's volatility, is expected to hit the market soon.
- This unique fund offers uncapped Bitcoin growth potential, while balancing risks with the stability of gold's price, providing a 1-to-1 compensation mechanism should Bitcoin's price encounter a loss.
- Brandon Lutnick, CEO of Cantor Fitzgerald, explained during the Bitcoin 2025 conference that the fund is designed to attract crypto-wary investors, offering upside potential with downside protection through physical gold.
- Bitcoin, as a risk-off asset, has shown a nearly 14% increase in the first quarter of 2025, while gold, with a steadier trajectory, has risen more than 25% within the same period.
- In the wake of the success of Bitcoin funds, there has been a surge in the popularity of altcoin-focused products, with Ethereum funds alone garnering over $2.9 billion in investments.
- Cantor Fitzgerald, having previously supported Bitcoin and stablecoin Treasury reserves for Tether's USDT product, discussed the practical applications of stablecoins during the Bitcoin 2025 conference with Tether's CEO Paolo Ardoino.
