Can someone please explain to me the purpose of indexes and investment trusts launching Bitcoin ETFs?
I understand what ETFs are and I am invested in a few that cover several different sectors. However, I see all this talk of Bitcoin ETFs coming and... what, you're just buying an IOU of Bitcoin??? Why not just buy the actual coin???
This sounds a lot like Robinhood offering BTC for purchase, but actually you're not buying BTC, you're just buying the rights to hold BTC. This sort of thing would make sense for gold since gold is so hard to transport, but BTC can be sent in minutes.
Seems to me that Bitcoin ETFs are just a fancy shiny sticker to slap on the coin to entice the dinosaurs on Wall Street. Am I wrong? I would love an explanation because I'm having a hard time wrapping my brain around it.
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