Seems like there’s an issue - how are these “spot Bitcoin ETFs” if they don’t follow the price of the underlying and all trade independently?
Either they need to come back into line and balance out, or these shits are fractionally reserved from day 1.
THANK YOU. YES.
I’VE BEEN SAYING THIS AND TRYING TO FIGURE OUT WHAT THE FRACTIONAL PERCENTAGE IS FOR EACH.
Market makers / Approved participants will need to arbitrage, since the etf's are in-kind creates.
Hmmmm. Good luck to them I guess. Sounds like a shitshow.
"creates" lol... in other words, if they don't buy or sell as fast as their clients then they get mowed
I don't understand why this is controversial. They make money by doing arbitrage, but unlike other market participants they can also create and redeem shares for actual Bitcoin since they are Approved Participants. So they can't really lose out.
I don't know what the discrepancy is, but sometimes it's not worth, especially if it's discounted and they're expecting inflows.
