Bitcoin Forum

Bitcoin => Press => Topic started by: White sugar on June 08, 2017, 07:56:03 PM



Title: [2017-06-08] This bitcoin investment vehicle could be 'a disaster waiting to...
Post by: White sugar on June 08, 2017, 07:56:03 PM
This bitcoin investment vehicle could be 'a disaster waiting to happen'

  • The Bitcoin Investment Trust offers investors a chance to get in on the digital currency's surge without having to take possession of bitcoins.
  • The trust often doesn't accurately track bitcoin's movement and trades at a more than 100 percent premium to the underlying asset.


http://www.cnbc.com/2017/06/08/this-bitcoin-investment-vehicle-could-be-a-disaster-waiting-to-happen.html


Title: Re: [2017-06-08] This bitcoin investment vehicle could be 'a disaster waiting to...
Post by: cr1776 on June 08, 2017, 11:57:09 PM
This bitcoin investment vehicle could be 'a disaster waiting to happen'

  • The Bitcoin Investment Trust offers investors a chance to get in on the digital currency's surge without having to take possession of bitcoins.
  • The trust often doesn't accurately track bitcoin's movement and trades at a more than 100 percent premium to the underlying asset.


http://www.cnbc.com/2017/06/08/this-bitcoin-investment-vehicle-could-be-a-disaster-waiting-to-happen.html

"Could", "might", "may" etc are all good weasel words where the author isn't very confident. 

I agree, it could, or it could not. Ask me in 10 years and I'll have a better idea.


Title: Re: [2017-06-08] This bitcoin investment vehicle could be 'a disaster waiting to...
Post by: aso118 on June 09, 2017, 01:52:48 AM
This bitcoin investment vehicle could be 'a disaster waiting to happen'

  • The Bitcoin Investment Trust offers investors a chance to get in on the digital currency's surge without having to take possession of bitcoins.
  • The trust often doesn't accurately track bitcoin's movement and trades at a more than 100 percent premium to the underlying asset.


http://www.cnbc.com/2017/06/08/this-bitcoin-investment-vehicle-could-be-a-disaster-waiting-to-happen.html

There is a 100% premium to the underlying asset, because people are desperate to get into Bitcoin and don't know how.
They see this trust as an investment option and do not really care about the premium.


Title: Re: [2017-06-08] This bitcoin investment vehicle could be 'a disaster waiting to...
Post by: 1Referee on June 09, 2017, 12:09:31 PM
There is a 100% premium to the underlying asset, because people are desperate to get into Bitcoin and don't know how.

Is that really the case? In well developed countries it's insanely easy to buy yourself into Bitcoin. I'm from Western Europe, and all I need to do is to verify my bank account, and that's really it. No ID scanning, or other nonsense that you have to go through when signing up at exchanges. I must however note that this service allows me to purchase up to €10,000 per day through the automated system, but this limit could be lifted if I get in touch with them by visiting their location to complete the deal. And yes, it's all legal.