Notes on Bitcoin ETFs for the community

[Blackforce]

So, the ETFs are delayed. Yet again. It comes as no surprise since we all were expecting the same. Yet the market dumped hard. You might have seen a correlation between the acknowledgement of Bitcoin by centralized organizations and the market reaction on it.

We still remember in 2016 or even 2017, when people gave a middle finger to regulation and institutions. Now everyone is begging and waiting for government approval. What a move huh?

We understand how much community perceives the importance of ETFs in Crypto but allow us to enlighten you, WE DON’T NEED THEM, INSTEAD, THEY NEED US. But, apparently, we are getting influenced by the same thing we swore to decimate in the first place. Yes, we are talking about centralized organizations and our strong craving for their acknowledgement. So, stop holding your breath and focus on what’s important for a true decentralized world.

So, stop holding your breath and focus on what’s important for a true decentralized world.
Also, Regarding the ETFs.

Do not expect SEC decision on the CBOE (VanEck-SolidX) Bitcoin ETF in 2018, so don’t hold your breath.

We see people being disappointed about the SEC delaying the decision on the ETF from VanEck-SolidX when actually nobody should have expected the SEC to approve the first-ever Bitcoin ETF within the first 45 days after the notice was published.

Everybody should be aware that the SEC will and should take the time it is allowed to by law, which is 240 days (45 days for the first and second extension, 90 for the third, 60 for the last).

What to expect now:
1. News about rejected ETFs likely in late August (link Proshares ETF)
2. Another series of news about Bitcoin ETF rejection in September (link Direxion ETF)
3. Both of the above ETFs are not commodity-backed (instead, they’re futures, at least the Proshares for sure) and thus, do not involve actually purchasing BTC. They could also be approved, but we don’t think that’s likely.
4. The final decision on the CBOE (VanEck-SolidX) somewhere around February-March 2019.

Credit:
https://t.me/whatsoncrypto
https://t.me/howmuch_net
https://t.me/cointified

[erikoy]

What if they will not approve cryptocurrency? What will happen next to bitcoin and other crypto? Will it continue the operation even if the government sectors does not want this thing to approve? How can we  push through on this one. I know that it is not time yet to speculate things but we need some clear ways or plan to pursue if things will not go as plan.

[avikz]

The group of people those who are disappointed by the delay in SEC approval are the group of people who never realized the actual potential of crypto currency. They are looking at the cryptos at the same manner they look at the fiat and waiting for government approval. They actually never realized that crypto is a people's currency where Banks and regulatory authorities plays a little role.

Also I have been telling the community that, where ETFs are not "physically settled", they will not help the bitcoin market in any way. Synthetic ETFs do not settle for physical assets so no question of fresh funds following into the market. Thanks for clearing this fact to the community especially to those who are loosing their sleep over the upcoming ETFs.

I second the opinion of showing "Middle Finger" to the regulatory authority on their decision on ETF as we are the least affected party here. Hope people understands the matter now! 

[nasibaha20012]

What if they will not approve cryptocurrency? What will happen next to bitcoin and other crypto? Will it continue the operation even if the government sectors does not want this thing to approve? How can we  push through on this one. I know that it is not time yet to speculate things but we need some clear ways or plan to pursue if things will not go as plan.

Mate, it will get approved. Matter of time. SEC has already announced that Bitcoin and Ethereum are not securities... Don't worry man.

By the way, the What's on crypto team and their channel are awesome. Very need thing for a crypto gentleman https://t.me/whatsoncrypto

[audaciousbeing]

While we are all trying hard to link the news about the extension of ETFs decision to the reason of why the price is really falling so hard, I personally think its only contributing to it rather than being the deciding factor because the news about the extension was reported sometimes last week when price was still hovering a little below $8,000 but now its now causing serious issue. I think there is need for everyone to change the narration away from ETF approval or disapproval and start focusing on things that matter or else they will continue to postpone till the end of the year and we will be here complaining about how last year was the best year that would ever be witnessed in entire existence of crypto currency.

[Igor76200]

https://bitcoinist.com/bitcoin-etf-decision-come-2019/

According to this article, ProShare ETF being approved would be a big hint for what's to come with SolidX

[RodeoX]

The funny part is that a bitcoin ETF is a dumb instrument in the first place. If you really wanted exposure to the BTC market you just buy some bitcoin. It's idiotic, in my opinion, to buy bitcoin futures. I have no idea how they are going to set a reasonable strike price other than a guess. You would do much better to handle these things yourself and avoid the fees and counter-party risks.

[nasibaha20012]

In Addition, here’s what makes the VanEck/SolidX ETF different.

If you don’t know what differentiates the VanEck and SolidX ETF and why it gives it a massive advantage over other ETFs that have been thus far rejected, here are the main points for you to better distinguish between the same:

1. Custody: Fund is physically backed and will hold BTC (Private Keys)

2. Designed for institutions not retail: Minimum $200K investment. This gives the SEC more confidence in protecting retail investors.

3. Backed by CBOE: to be traded on BZX Equities Exchange. CBOE has already pushed through Futures and has a long standing history with the SEC.

4. Regulatory oversight: the CBOE is a trusted and regulated exchange in the eyes of the SEC

5. Index will be traded on a OTC (over the counter) desk by Voice not Electronically: this reduces risk of manipulation and increases regulatory transparency.

6. Insured: ETF is insured by a syndicate of A-rated insurers. Again, more assurance and protection for investors.

7. Both VanEck and SolidX have filed for ETFs independently: together, they bring to the table more experience and lessons learned than any other applicant.


Well, there you have it. Other ETFs have had some of these components but nothing has come close to be as robust and comprehensive as this ETF.
The Delay is a sign of confidence, as. It demonstrates the SEC’s interest in continuing to do proper due diligence versus outright rejecting it.

Credit: https://t.me/whatsoncrypto

[Jet Cash]

Of course they will be approved. The bankers need to be able to influence the price, so that they can suck as many Bitcoins as they can out of the market. I can see Bitcoin becoming an asset base for next generation "fiat" currencies. That takes us a long way from Satoshi's original concept, and will make bankers a fortune. It will make some of us some money as well, but it will mean that Bitcoin will not be viable for daily purchases. You will have to use the new government cryptos.

[Sylvial]

What if they will not approve cryptocurrency? What will happen next to bitcoin and other crypto? Will it continue the operation even if the government sectors does not want this thing to approve? How can we  push through on this one. I know that it is not time yet to speculate things but we need some clear ways or plan to pursue if things will not go as plan.

Mate, it will get approved. Matter of time. SEC has already announced that Bitcoin and Ethereum are not securities... Don't worry man.

By the way, the What's on crypto team and their channel are awesome. Very need thing for a crypto gentleman https://t.me/whatsoncrypto

The ETF approval is going to be a subtle way of centralization which in itself is against the tenets of the blockchain revolution.

[pawanjain]

What if they will not approve cryptocurrency? What will happen next to bitcoin and other crypto? Will it continue the operation even if the government sectors does not want this thing to approve? How can we  push through on this one. I know that it is not time yet to speculate things but we need some clear ways or plan to pursue if things will not go as plan.

Don't panic dude. It's because of the people who panic that the price of Bitcoin has gone down so much. So what if ETF is rejected ?
Bitcoin won't stop growing buddy. It has been functioning since the beginning. There were no ETF at that time to bother for BTC. Why has it become such a big deal now ? Even if the ETF is rejected by the SEC I am sure that BTC would be doing just fine in some days, albeit there will be minor dumps again because of the people who panic.

[Kaniel-ouots]

i dont know a shit whats is going on but all what i know that cryptocurrency market and bticoin has become a dirty playable shit prices goes up with no reason and goes down with no reason

[farhiamunni]

i want to say what actually happen if sec reject etf, I think for some days the price of btc will dump then within a week it will go back on his own track. so brother don't be serious that much. keep your faith on bitcoin.

[bitcoindiary]

It won’t make any changes. It’s a matter of time. Bitcoin have the nonpareil place in the industry. Very soon it will come on the right track.

[aso118]

What if they will not approve cryptocurrency? What will happen next to bitcoin and other crypto? Will it continue the operation even if the government sectors does not want this thing to approve? How can we  push through on this one. I know that it is not time yet to speculate things but we need some clear ways or plan to pursue if things will not go as plan.

Mate, it will get approved. Matter of time. SEC has already announced that Bitcoin and Ethereum are not securities... Don't worry man.

By the way, the What's on crypto team and their channel are awesome. Very need thing for a crypto gentleman https://t.me/whatsoncrypto

The ETF approval is going to be a subtle way of centralization which in itself is against the tenets of the blockchain revolution.

It really doesn't matter. ETFs will act as custodians for millions of smaller investors. Centralization of wealth (and bitcoin holdings) is inevitable. Over a period of time, there will be rich people who holds lots of bitcoins. This doesn't cause problems similar to the centralization of hashing power.

[matthewio]

It is interesting how the focus has changed from wanting regulations from not want it. ETF may solve some of the problems but will introduce new ones-centralization by government

[erikoy]

Yeah it takes some time to think and organize an option of what to do with the cryptocurrency system. I had the empathy for the government who is now looking both sides for the advantage and whatever the advantages they will get for sure the benefit is for the many people. Thus, including a plan to modify the cyrptocurrency like an option if things will not get approve maybe they could create another rulings and made cryptocurrency available.

[artaks]

We actually do not need the SEC. This is a decentralized market. The people here are ones which decides which will be worth our time and money based on the demand of the coins the people have for it. This market is not owned by the banks and we need to lay back and relax a little bit.

[rahimali]

That’s the article which are searching for many newcomers in this forum. This type of article can help to gather knowledge. But if these are unreliable that should be gone wrong`

[alinalovedoogie]

ETFs have been the ever hype that is making people very excited everytime they are coming up with news and that is making BTC market worse than before. BTC price will recover faster if people stops thinking about this ETF thing and start to concentrate on other factors, I assume.