What is bitcoin ETF?

[anushkasachith888]

Bitcoin price is going up? I asked someone about the reason behind this , Then he told, Bitcoin ETF is the reason why bitcoin price goes up at the moment? Actually What is this Bitcoin ETF?

[1714654618]

1714654618

[MintDice]

To know what a BTC ETF is, you'll have to know what a traditional ETF is. This video explains both (albeit a few months old): https://www.youtube.com/watch?v=OwpFBi-jZVg

This new buzz can very well be the reason for a price increase seeing as it will allow crypto to be more a accessible for the masses or generally people who have been on the fence due to concerns about traditional exchange platforms, wallets, etc. People like convenience and this is about as convenient as it gets in regards to investing (if approved by the SEC, of course).

[opg777]

ETF is an investment tool that uses bitcoin as its underlying asset. In general, tradable index funds (ETFs) are derivative financial instruments that track the value of one or more underlying assets and are traded on the stock exchange within the trading session.
There are two main areas of investment, for which such funds are oriented. The first is a small income with minimal costs due to a long-term increase in the value of the underlying assets. The second opportunity for profit is intraday trading. The cost of any ETF, following the movement of the price of the underlying asset, changes throughout the day, and a short-term trader can speculate on this.
Everything is simple and clear, the tool is designed to further facilitate investment in bitcoin. He will also make bitcoin more attractive - due to the convenience and simplicity of the rest.
The idea to create ETF is not new, it was already offered by the twins of Winklewoss, but the securities commission rejected their offer. Now the situation has changed much, the rate has grown, the commission approved futures, I think that the approval of the ETF commission is not far off. All the data is available on the Internet, you can always find the information you are interested in in the search.

[Twkasun52]

i am also curious about that ETF everyone talks.waiting for proper explanation by expert.

[Hagrigton]

From what I can see, this ETF hype is mostly because it will turn this "wild horse" called bitcoin into a more tame "commodity" or whatever they want to categorize it as over at the Chicago Mercantile. This is a good thing for the price because it will enable more conventional investors to put money into it directly from their stock trading platforms. But what about long-term? It could be a step towards regulation (if that is even possible) by monetary authorities. Or it could just be a way for people like Warren Buffet to claim tax on their investments. Hard to say at this stage.

[Rizwanguroo]

(ETF) is a passive investing instrument that tracks underlying benchmark indexes (such as the NASDAQ-100 Index, S&P 500, Dow Jones, and others), commodities, bonds, or portfolios of assets and replicates their performances.