Buzz is continuing to grow over the imminent launch of the first spot Bitcoin (CRYPTO: BTC) exchange-traded fund (ETF) for the U.S. market. This investment product is widely perceived to be bullish not only for Bitcoin, but also for the entire crypto industry. As a result, just about any bit of ETF-related news can send the price of Bitcoin soaring. On Oct. 23, for example, Bitcoin soared by $4,000 in a span of just 24 hours after a positive update from  (NYSE: BLK) on its planned Bitcoin ETF.

But just because a spot Bitcoin ETF might be good for the overall crypto market doesn't mean that it's necessarily good for your portfolio. Here's a closer look at the pros and cons.

For individual investors, the biggest advantage of a spot Bitcoin ETF is the lack of many of the biggest barriers to entry for crypto. You don't have to worry about creating an account with a cryptocurrency exchange. You don't have to worry about creating a blockchain wallet to hold your crypto. And you don't have to worry about crypto taxes, which can be hard to figure out.

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Source Fool.com