the The aspirations of a Bitcoin ETF set up, were so far in the sand. Neither the perseverance of the Winklevoss brothers (the BTC billionaires could change already took two attempts) the cooperation of VanEck with the US regulatory authorities. However, the Bitcoin ETF will come when the crypto-community is, for once, in agreement.

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19. January 2019BTC$3.698,34 2.88%part Facebook Twitter LinkedIn xing mail

But what is the Bitcoin ETF? The Narrative of the institutional money that catapulted the market into new spheres is that just wishful thinking? And why would the libertarian crypto community that is working on counter-proposal to classical financial markets, that Wall Street is part of the game?

We have arrived to us to the theme of ETFs – here are five good reasons for a Bitcoin ETF.

1. Legitimacy

The official approval for a Bitcoin ETF would be the legitimising knight blow for the crypto-currency. Although Bitcoin is already a regulated Asset and is hardly a lack of clarity on the tax treatment, afraid investors, as before, to invest in Bitcoin.

Us think: Would Bitcoin in the illustrious circle of the ETF’s move-enabled financial products, this is likely his public recognition.

Because exchange-traded funds are tax-and legally well-defined system objects. That willing crypto-investors, in a legally unsafe water, would have to fear no-one.

2. Security

From an investor’s point of view, is an ETF a much more convenient option, in order to expand the Portfolio with Bitcoin, to buy as the crypto currency on an Exchange and to take the Wallet Management. All of this assumes a certain level of Expertise and responsibility.

That even professional investors do not always implement only Best Practice, all of the lost Private Keys and the associated BTC are gone never to be seen again in the air, the empty space will be lost.

Read also: Swiss Bank, offering regulated Bitcoin custody for Institutional

Manager of Multi-million-Dollar-Fund may expose to such a risk. Eligible ETFs, however, should be sufficiently secure, a SEC-Approval seems to be otherwise almost impossible.

3. Institutional money

let’s Be honest: The approval of an Exchange Traded Fund would be an earthquake. The market would be above priced in, called immediately – in the Knowledge that Bitcoin is by now part of the traditional financial markets. “On the day of the announcement, Bitcoin will go through the roof,” summarizes Ari Paul, CEO of crypto-investment company block tower, the expected course of the reaction.

And then there’s the matter of the institutional FOMO. Galaxy-Digital-CEO Mike Novogratz expected to be a self-potentiating spiral of institutional Investments. Therefore, Fund managers need to justify after a certain point in front of their investors, to have one of the most lucrative asset classes in the history of humanity missed.

The Narrative is currently still in the opposite direction: well-Established Fund, which reported the entry into the crypto-market, solve nowadays a medium-sized Sensation. The reporting of crypto-Investments of Ivy League universities Harvard, Stanford and mit have led to a huge media echo.

4. Attention

The price of Bitcoin since always been in Hype-cycles. Periodically bear market follows a bull market, you understand. In any case, the donor attention to the Bitcoin phenomenon goes hand in hand with the course development. Observable is the apparent correlation between Google searches on the topic and course development:

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