Bitcoin Forum

Do you ever think there's going to be a Bitcoin / Other Cryptos index fund? Which means you'll be able to invest money into the entire crypto market (obviously only like top 50 coins or so) instead of having to pick and choose different coins which you don't know about. This seems like the best idea to get mass amounts of people involved in investing and would get money flowing in like crazy.

Thoughts on this?

I think you do not know enough about crypto and exchanges. There are plenty of exchanges which you can invest into many coins like NovaExchange has hundreds of coins.

This is not the way of bitcoin of investing money into entire crypto market, because its digital currency you need to exchange your fiat money into bitcoin in order to buy other altcoins and used it for trading.you must follow the market cap  or other news,forum about cryptoworld and find the potential coins that  someday will get high profit in the market thars the process of bitcoin and not as what you said cryptos index fund.bitcoins is finding a great coins having a potential in the market value to have gain a big profits.

Of course, indexes will come, but the market is still not ready for such an instrument.

Yes we need to see this kind of engagement at first place. We must gather together and let know the world which are the best investment opportunities in terms of alt coin crypto. However that would artificial pumping if everyone starts investing into single or a group of coins. But if it is going to get us some good profitability then that would be great to do in the first place but we also need unity for that purpose.

However it would be difficult to achieve a same market cap as bitcoin for any other crypto currency and we may not see another bitcoin in the future and anywhere int he time. This would be really hard to digest as people will never let go the bitcoin and thus they will keep bitcoin as the bitcoin and nothing else.

Alts function similar to an index fund imo. A massive percentage of alt value is derived from bitcoin. If bitcoin's price increases, alts usually follow in its wake. The opposite is also often true. It may be possible to make an investment similar to a crypto currency index fund by buying bitcoin. Btc being one of the main driving forces determining overall increase/decrease in crypto market capitalization, allows targeting of average market movement to a decent degree.

If an index fund were implemented an interesting conversation might be had regarding how crypto index funds were divided. Bitcoin being a worldwide phenomena could there reasonably be dividing lines via geographic location? There might be a discussion on whether there's a point in dividing or categorizing crypto via some abstraction to make value easier to track. It could have long term potential in terms of legitimizing crypto and being a nice topic to talk about.

An index is just a basket of stocks or in this case cryptocurrencies.

If you want you can design your own basket, for example the top 10 with 50% in bitcoin, 20% in the second in the top 10, etc... just buy that and bingo you have your own index.

This is not how the market works each cryptocurrency depends on every users which allow the fluctuation in the market. So if you'd like it to put in a basket, it will not work that way. It will create an imbalance of the demand and supply. I hope you get my point.

Of course I do think this will happen one day. CME is launching their futures on Dec 18 with NASDAQ also piling in sometime next year. You have tons of funds also vying to get into the bitcoin space and they will start small but once they realize cryptocurrencies are here to stay I imagine they will expand their indexes, have more futures for more coins, and last not but not least they will have ETFs which I believe are on the horizon and will come in 2018 if not 2019 for sure.

I think it will come, it is just something sure, tied to the growth of the market in the future. And I also think it will come sooner than what you think.

I don't think this is going be even possible, unless you invest in some exchanger, because each crypto has their own market, these can be on one single group.

Yeah most altcoins crash hard when Bitcoin crashes. I think BTC is overall a much, much better investment in the long run because of multiple reasons.

Altcoins tend not to pump as much when Bitcoin does, but they do crash hard with BTC which means you get less upside and more downside. Also, they are harder to trade (less exchanges off them) and cash out for USD (almost impossible these days, only BTC can be cashed out for USD and that is even hard in itself).

Finally, there are often forks of the Bitcoin chain which essentially give us free money where we can just dump them whereas altcoins don't have forks and don't give free money. Based on these factors I think holding Bitcoin is hands down the number one option by a long shot.

I get your point but an index is just an index, you can build one anytime you want, it is just a number calculated with some rules.

It, being virtual, doesn't affect the market, only if it gets famous and influences the traders. If you want to replicate it you can with as little as 1000$, that wouldn't influence the market and would give you exactly the performance of your index. (You can trade each Top10 crypto in different markets if you want but it is not necessary).

This is a good idea. But coins with a large capitalization will not increase dramatically in value. Can it be better to buy unknown coins?

If that would be the case, then i don't quite see the essence of being a trader. If you do that, let's say by investing to the whole crypto market, you will be assured that you will earn profits from it because you invested to the top 50 coins out there which has a high of price increasing, but that means that most of us will trade the same way so you'll probably earn a little compared when you search an undervalued coin by yourself and discover its potential in the future. You'll earn hundred times although it is riskier than the former strategy.

That’s what happens in the stock market. You can buy index funds but you can trade as well. With index funds you get more security and with trading you get high potential rewards but at a high risk.

Im not pretty sure in investing on bitcoin or trading that's why I don't want to get involved with it :). But I do interested in bitcoin so im just joining some bounty campaigns

Well if you're having a hard time choosing which coins to choose from which exchanges, it pays to read. Investment is a risk. But you lessen that risk by reading and researching on that coin you're eyeing on. Read reviews. Many people talk about the coin they experienced holding and tell you how the coin behave. Learn to read charts. Charys are trends of the coin you're eyeing so you'll know if its the best time to buy or not.

Yes, I thought it is an excellent idea as far as the investment management company is genuine and having high calibre and experience which required for the crypto industry. I met a person called Mr Mohit Mamoria, he has his own investment company called Authorito capital and he is doing the same job. He has given talks on what blockchain is all about in India and many other countries. His company issues PIE tokens based on the ETH smart contracts. There are some other funds too in the market doing it on behalf of their customers.

Essentially from the explanation you describe, you are less understanding about bitcoin, or maybe I think you've misread an article or misconstrued an information, it's not about what you think because bitcoin investing is not like that.

There's actually already one, and it's called crypto20 I believe. It's pretty much just like a stock market index, it's a crypto index that invests in the top 20 coins in terms of market capitalization.

I don't think that this will ever become a popular idea, but it's happening out there already.

The reason is that you have absolutely no control of what you're investing in. If you are investing in coins traditionally by buying it and holding in an address that you have access to, there is 0 risk apart from the obviously volatile exchange rates. But trusting an investment fund to do something that you can do yourself already? Doesn't sound that good of an idea. They could easily deny access to your investment in the fund, if they really wanted to.

Plus, the lack of customization is a huge downside. There is no way that someone can pick and choose the coins they want investing in, but instead they're stuck with a limited range of coins in the fund that can't be filtered.

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i think it is mostly focused on older people , that don't have the knowledge to buy and sell on regular exchanges but still want to be invested in this space. this probably will be solved when the user interfaces mature and crypto becomes easier to use. because with all the stories around about hacking and losing funds i think a lot of people would rely on such a thing.

I don't think so with thousands of coins now in coin market, you will always have to choose what coins will you invest in your most convenient way and think that you will not loose in that.

the thought has indeed crossed my mind since a few months ago, but the possibility of this being realized for now is not yet as far as it can be done, my thinking is based on the number of communities that each have their own opinions and sometimes not in line with what we think, my opinion on this

Yups we have same thoughts,i dont get what OPs trying to say here,because theres alot of exchanges that can offer holding our coins and make profit from that.

So why need to have index fund for some reason.seems like someone i read in forum that thinking about having CRYPTO BANK what kind of mind thinking cryptonians nowadays

I think you have a lot of funds that are also vying to get into bitcoin space and they will start small but once they realize cryptocurrency is here to stay I imagine they will expand their index

To follow your way of thinking I get confused myself. I think you need to consider your question. And you need to go back to invest in bitcoin, because I do not think what you think.

To invest may be like that, but different if you are trading for profit. From the profit, it may be better to buy coins that are developing, because if you buy a coin that is growing, you can get a coin with not too expensive otherwise if you buy a top 50 coin may be difficult for you to buy it because the price is quite expensive. Of the benefits, you get you can use as a top 50 coin investment, and it can be an investment advantage that you get next time.

im sure it would great if its true and crypto market will be much a like market stock. But i do believe just invest your coins on the project that you believe that will success and usefull in future. I believe investing on one coins could maximize your profit but you need to be picky and pick the right coins so you  wont regret your decisions and gain good profit from it.

I would rather like to invest solely on the cryptocurrencies of my choice rather than on the whole index. Because it will help lessen the risk on not losing money, because some of the coins you invented in maybe under performing making one lose money.

Because of the enormous bounty campaigns that have been dropping on the platform, I always think of which one to partake and which one to step aside. This decision becomes sometimes a hectic task for me and I always have deliberations within me as to how to go about things. I came to a conclusion of always checking the team m embers and the roadmap of the campaign and lastly, what the campaign intends doing in the life of participants. What criteria do you use to select a campaign?

I always think about how I can safely trade bitcoin or digital money, I want myself to be rich and I also want to make a lot of money to cover my daily life. I like doing other charity work

I thing Bitcoin is known as the money in the whole country.It is good idea that Bitcoin will be allowed in every country.If we get it then the income will be much easier for us.Thanks if anything happens.

to be smart in bitcoin trading i think you should start now, because with practice you will have plenty of experience. you can choose a top 50 currency through cmc, and start analyzing for prospective coins

Using the word convenient is like you are investing in a thing that you are using in your house. We are talking about profit so I think you must say that we will be choosing a coin to invest in has the highest possibility of having a good price in the future, a coin that will not only attract a lot of users in the future but also will attract a lot of investors.

i think bitcoin will surpass its value again and it will survive cause we all know that bitcoin is almost 20 years of running and i know that bitcoin is very large. it is so decentralize so dont you ever think that it will die soon cause bitcoin is bitcoin. bitcoin is the most valuable cryptocurrency in the world

That would be a great idea since people will be more efficiently become a good investor and would pick a good coin rather than a scam coin.

Well, if that will possibly happens it's gonna be good idea to investor in here,  but for me personally it will be a lot of better if you're not invest so mich assets in bitcoin, I knew the result that would be flowing so massive but bitcoin was so risky, you might be invest some of your assets in the real companies that you can manage very well.

This is a good idea, so you need to create such a fund and attract your investors ' money there.

I always think that there will be a new technology that will launch a member of the digital age similar to the block chain technology but will improve the technology blockchain I always hope that it will come to me.