What is a Bitcoin ETF?

[blockchain2k]

I am kindly asking for someone knowledgeable enough in this subject to enlighten the rest of us here who want to know what a Bitcoin ETF is.

[zwiggel]

Bitcoin ETF is an investment basket that simulates the entire Bitcoin index of companies constituting. Bitcoin ETF will track the Bitcoin value and be traded on the traditional stock market. Investors in the Bitcoin ETF fund will have to guess Bitcoin's value without a Bitcoin purse to protect its assets. This is the strengths and weaknesses of the Bitcoin ETF.

[XinXan]

https://www.investopedia.com/terms/e/etf.asp

What people are talking about lately is the SEC (U.S. Securities and Exchange Commission) which is delaying their decision to approve bitcoin ETF's. They could delay it until February of 2019. It's also why the recent bull move happened, Bitcoin ETF's would be pretty huge for the whole crypto market.

[papsmark]

The bitcoin etf is investment basket that simulates the entire Bitcoin index of companies constituting.

[ryanrius01]

Basically, a Bitcoin ETF is one where the underlying asset is Bitcoin. This means that when you purchase Bitcoin ETF, you’re purchasing the cryptocurrency, albeit indirectly. This is because you’re holding the Bitcoin ETF in your portfolio and this ETF tracks the real-time price of Bitcoin. Therefore, the difference is that when you invest in Bitcoin ETF, you have the luxury of trading Bitcoins without the struggles of buying and storing it.

[Kakmakr]

Basically, a Bitcoin ETF is one where the underlying asset is Bitcoin. This means that when you purchase Bitcoin ETF, you’re purchasing the cryptocurrency, albeit indirectly. This is because you’re holding the Bitcoin ETF in your portfolio and this ETF tracks the real-time price of Bitcoin. Therefore, the difference is that when you invest in Bitcoin ETF, you have the luxury of trading Bitcoins without the struggles of buying and storing it.

This is exactly what large institutional investors wants, because they do not want the hassles of opening and managing wallets and worrying about the safe-keeping of those coins. This is going to be a significant event, if it is approved. There is also a lot of other ETFs where people would invest in say Gold, without dealing with any physical Gold.

We will also see a large influx of fiat capital and a much larger demand for bitcoins, if this is approved.