The SEC deadline to approve the Winklevoss Bitcoin ETF is October 12. This has been in process for almost three years.
Why a Bitcoin ETF? This would open Bitcoin to Institutional investors and Joe Stocktrader. Tell your Uncle about Bitcoin at Thanksgiving and he could buy it Monday in his 401k.
“If a Bitcoin ETF brings additional capital to bitcoin, it would likely push the price higher and drive an increase in hashing power and funding for development – both of which would serve to further improve network security which, in turn, further enables all the use cases that make bitcoin great.”
Why not $GBTC? $GBTC is a scam. Every share represents .9 of a bitcoin which at $90/share means it’s almost 50% overpriced.
While waiting on the SEC the Winklevoss twins have been busy launching their daily auction of Bitcoins via Gemini in mid September.
Gemini tweets updates on the auction that occurs at 4PM daily.
1,663.02 BTC (~1M USD) was traded @ $613.00 in today's 4pm ET two-sided auction at <0.01% off the midpoint.
— Gemini (@GeminiDotCom) October 3, 2016
Gemini has been averaging ~$1M/day in their auctions. Not too bad for a couple of Facebook rejects.
Note on ETF: It is much better to own your Bitcoin than to own an ETF based on Bitcoin, even if the ETF accurately represents Bitcoin’s price. Think of it like owning Gold vs a Gold ETF. If the ETF custodian has problems what do you really have? Nothing. However, if owning Bitcoin in your 401k is only accessible via an ETF then I would consider it.
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