Buy bitcoins on Nasdaq

[the founder]

http://blogs.wsj.com/moneybeat/2013/07/01/winklevoss-twins-file-to-launch-bitcoin-exchange-traded-product/

Breaking news

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[btceic]

http://blogs.wsj.com/moneybeat/2013/07/01/winklevoss-twins-file-to-launch-bitcoin-exchange-traded-product/

Breaking news

Interesting, btc-e last is 80 btc/usd, why would (if any) this have any effect on the price?


Edit: link to the Form S-1:
http://www.sec.gov/Archives/edgar/data/1579346/000119312513279830/d562329ds1.htm

[the founder]

Now your 401k can invest in bitcoins,  retirement funds, every wall street trader...  this is opening floodgates.

[btceic]

Cherry picking from the S-1:

The Winklevoss Bitcoin Trust (Trust) will issue Winklevoss Bitcoin Shares (Shares) which represent units of fractional undivided beneficial interest in and ownership of the Trust. Math-Based Asset Services LLC is the sponsor of the Trust (Sponsor) and [TRUSTEE] is the trustee and custodian of the Trust (Trustee) using proprietary and patent-pending technology to administer the Trust. The Trust intends to issue additional Shares on a continuous basis.

The Shares may be purchased from the Trust only in one or more blocks of [50,000] Shares (a block of [50,000] Shares is called a Basket). The Trust will issue Shares in Baskets to certain authorized participants (Authorized Participants) on an ongoing basis as described in “Plan of Distribution.” Baskets will be offered continuously at the net asset value (NAV) for [50,000] Shares on the day that an order to create a Basket is accepted by the Trustee. The Trust will not issue fractions of a Basket.

[bbit]

Now your 401k can invest in bitcoins,  retirement funds, every wall street trader...  this is opening floodgates.

Really pretty slick news to hear! 

[btceic]

Cherry Picking Continued:

Emphasis is mine

The Trust holds “Bitcoins,” a digital commodity based on an open source cryptographic protocol existing on the online, end-user-to-end-user network hosting the public transaction ledger, known as the “Blockchain,” and the source code comprising the basis for the cryptographic and algorithmic protocols governing the issuance of and transactions in Bitcoins (the “Bitcoin Network”).

I would imagine that they have consulted with attorneys regarding bitcoin being a commodity or other, not sure if this is good, bad or otherwise news.

[SamS]

Also known as how do you exit an illiquid market without destroying the price...

[btceic]

a Basket equals a block of [50,000] Shares

The initial number of Bitcoins required for deposit with the Trust to create Shares is [10,000] per Basket.

The number of Bitcoins required to create a Basket, or to be delivered upon the redemption of a Basket, will gradually decrease over time, due to the accrual of the Trust’s expenses, the transfer of the Trust’s Bitcoins to pay the Sponsor’s Fee and the transfer of the Trust’s Bitcoins to pay any Trust expenses not assumed by the Sponsor.

Edit: does this last portion presume that the number of bitcoins will gradually decrease over time to create a new basket because they believe the value of bitcoins will rise? or is it by some other mechanism that I am not seeing this second?

[CurbsideProphet]

Cherry Picking Continued:

Emphasis is mine

The Trust holds “Bitcoins,” a digital commodity based on an open source cryptographic protocol existing on the online, end-user-to-end-user network hosting the public transaction ledger, known as the “Blockchain,” and the source code comprising the basis for the cryptographic and algorithmic protocols governing the issuance of and transactions in Bitcoins (the “Bitcoin Network”).

I would imagine that they have consulted with attorneys regarding bitcoin being a commodity or other, not sure if this is good, bad or otherwise news.

Right now it's only their opinion.

The Sponsor believes that, on balance, the important features of Bitcoins and other Digital Math-Based Assets are those that are characteristics of commodities and therefore has referred to and discussed these assets as such. It is not known whether US or foreign regulators will share this view, adopt a single, different view or espouse a variety of differing views; this regulatory uncertainty creates risks for the Trust and its Shares.

[CurbsideProphet]

Trust will be terminated if:

the Trust is determined to be a “money transmitter” under the regulations promulgated by FinCEN under the authority of the US Bank Secrecy Act and is required to comply with certain FinCEN regulations thereunder, and the Trust receives notice from the Sponsor that, because of that determination, termination of the Trust is advisable;

How exactly would they not be considered a money transmitter?  They're acting on behalf of a third party (the investor) to purchase Bitcoin.

[WaverleyStreet]

http://blogs.wsj.com/moneybeat/2013/07/01/winklevoss-twins-file-to-launch-bitcoin-exchange-traded-product/

Breaking news

Interesting, btc-e last is 80 btc/usd, why would (if any) this have any effect on the price?


Edit: link to the Form S-1:
http://www.sec.gov/Archives/edgar/data/1579346/000119312513279830/d562329ds1.htm

yes i will modding that board for sure will be like so much fun Erics' funny money at work!!LOL

>>LOVE IN IT!!!!****FREAKING AWESOME LINK BRUDDA!!!!!!

[btceic]

Trust will be terminated if:

the Trust is determined to be a “money transmitter” under the regulations promulgated by FinCEN under the authority of the US Bank Secrecy Act and is required to comply with certain FinCEN regulations thereunder, and the Trust receives notice from the Sponsor that, because of that determination, termination of the Trust is advisable;

How exactly would they not be considered a money transmitter?  They're acting on behalf of a third party (the investor) to purchase Bitcoin.

Because they won't be delivering bitcoin to the end-user, they will be purchasing it on behalf of the end-user for the trust where that ownership is represented as shares, no?

we need @msantori in this thread

[candoo]

They just want to try to stop the price from dropping  below 50$

[WaverleyStreet]

Now your 401k can invest in bitcoins,  retirement funds, every wall street trader...  this is opening floodgates.

will we still get our bath salt divys????LMFAO!!!!


>>RADAR SPINNING ON THIS 1!!!!>>i reported this to the NYSE shark tank we will see what they say!!!LOL

[MJGrae]

Trust will be terminated if:

the Trust is determined to be a “money transmitter” under the regulations promulgated by FinCEN under the authority of the US Bank Secrecy Act and is required to comply with certain FinCEN regulations thereunder, and the Trust receives notice from the Sponsor that, because of that determination, termination of the Trust is advisable;

How exactly would they not be considered a money transmitter?  They're acting on behalf of a third party (the investor) to purchase Bitcoin.

Because just like they said, they are treating bitcoin as a commodity, and not a currency. To them, and for this security, bitcoin is being treated the same as gold or any other commodity that can be securitized.

[CurbsideProphet]

Trust will be terminated if:

the Trust is determined to be a “money transmitter” under the regulations promulgated by FinCEN under the authority of the US Bank Secrecy Act and is required to comply with certain FinCEN regulations thereunder, and the Trust receives notice from the Sponsor that, because of that determination, termination of the Trust is advisable;

How exactly would they not be considered a money transmitter?  They're acting on behalf of a third party (the investor) to purchase Bitcoin.

Because just like they said, they are treating bitcoin as a commodity, and not a currency. To them, and for this security, bitcoin is being treated the same as gold or any other commodity that can be securitized.

Ah, yeah you're right.  So I guess the million dollar question now is does the SEC & other regulatory bodies agree with them.

[CurbsideProphet]

If the IPO is for 1 million shares to raise $20 million and from the S-1:

The Shares are intended to offer investors an opportunity to participate in the Bitcoins markets through an investment in securities. On the first day of trading, each Share in the initial Baskets was comprised of [0.20] Bitcoins.

This puts their estimated fair value of Bitcoin at $100, correct? 

[WaverleyStreet]

Cherry picking from the S-1:

The Winklevoss Bitcoin Trust (Trust) will issue Winklevoss Bitcoin Shares (Shares) which represent units of fractional undivided beneficial interest in and ownership of the Trust. Math-Based Asset Services LLC is the sponsor of the Trust (Sponsor) and [TRUSTEE] is the trustee and custodian of the Trust (Trustee) using proprietary and patent-pending technology to administer the Trust. The Trust intends to issue additional Shares on a continuous basis.

The Shares may be purchased from the Trust only in one or more blocks of [50,000] Shares (a block of [50,000] Shares is called a Basket). The Trust will issue Shares in Baskets to certain authorized participants (Authorized Participants) on an ongoing basis as described in “Plan of Distribution.” Baskets will be offered continuously at the net asset value (NAV) for [50,000] Shares on the day that an order to create a Basket is accepted by the Trustee. The Trust will not issue fractions of a Basket.

basically what i see is Eric V doing his best to throw us under the bus so he can get rich pumping the bitcoin pyramid to his elitist Wall Street buddies!!LOLLL

i bet he used all that SatoshiDice funny money to pay for the Lawyers who wrote up that boilerplate!!LOL


>>>CAN YOU SAY: TORCHES AND PITCHFORKS?(no pun intended)!!!!

[btceic]

Just thought of this...

This will force the regulators hands in making a decision no?

They will have to define it as some kind of asset at the least.

Good bad or otherwise we will know soon what bitcoin is or isn't

[Mytche]

If the IPO is for 1 million shares to raise $20 million and from the S-1:

The Shares are intended to offer investors an opportunity to participate in the Bitcoins markets through an investment in securities. On the first day of trading, each Share in the initial Baskets was comprised of [0.20] Bitcoins.

This puts their estimated fair value of Bitcoin at $100, correct? 

100.45