Bitcoin Futures Yield Collapses to Near Parity with Treasuries

The yield on Bitcoin futures has been in free fall over the past year. It was once as high as 20% compared to Treasury notes, but now stands at less than 1%. This sudden collapse is a significant development in the cryptocurrency market.

The data shows that the premium paid by investors for the privilege of holding Bitcoin futures has largely disappeared. This means that the value of holding these contracts is no longer seen as higher-risk or more lucrative than holding traditional Treasury notes.

This shift could have implications for institutional investment in cryptocurrencies, as some investors may be deterred by lower yields on Bitcoin futures.