With the emergence of bitcoin-based Exchange-Traded Funds (ETF), chatter from observers suggests that the activities coming from these investment funds could double the bitcoin price, if not more.
Also read: Malware Alert: Hackers Stealing Computing Power to Mine Monero
Bitcoin ETF: Prepare for Liftoff
The most high-profile of these funds is the Winklevoss ETF, which has been waiting for SEC approval. While the possibility for rejection still exists, the ETF is expected to get approval in coming months. Either way, the SEC must make a ruling by March 2017.
Some believe the implementation of a bitcoin-oriented investment vehicle like an ETF could as much as double the price of the cryptocurrency.
This is due, in part, to the belief that widely-traded stocks of bitcoin will further legitimize the currency by offering different avenues for people to invest in, as well as making it less intimidating and obscure to newcomers.
However, there is another reason, one that appeals more to mainstream outlets. The history of commodity-based ETFs such as gold, considered comparable to bitcoin as an investment vehicle, shows that once an ETF for a commodity is launched, that asset’s value increases significantly due to buying demand from the fund.
That is exactly what happened in the early-to-mid 2000s,
Read more ... source: TheBitcoinNews
Advertise on the Bitcoin News
Do you like The Bitcoin News ? Thank you for Support us !