It will open up a lot of institutions to invest in bitcoin and will demonstrate that the government is sanctioning it to some degree.
There are some concerns about everyone piling into ETFs and not understanding the technology, but in the end it won't matter.
For reference look at what happened to the gold price when the first spot etf was introduced
How do you think decentralization fits into this?
In my opinion, the more decentralization the better. But I’m not sure of how all this will eventually play out
Have you read any books about bitcoin yet?
The 7th Property is a good place to start.
I’ve read a quite a few. But a lot of this is very technical, and I’m trying to understand and grasp a lot of the basics still 😅
Yeah you asked a big question. If I tried to explain why decentralization is important and how bitcoin maintains it I would end up writing a book.
What I can say in relation to the ETF is that buying and selling bitcoin alone cannot do anything to centralize bitcoin. Only manipulation of the miners or the code can cause that.
yeah true. I’m just trying to understand the importance of decentralization in this case. In my head, if SEC greenlights the Bitcoin-EFT, a lot
of the decentraliztion will dissappear a core
part of why Bitcoin have a monetary value.
But I’m not very good at this, just trying to think about the consequences and impacts something so big will have on it
I understand the concern. The ETF will have no impact on the decentralization of the protocol. It may cause a bunch of people to invest in an ETF which is centralized, but that's their mistake. Won't make a difference to bitcoin or the people who self custody
I understand! Thank you 🫂 I appreciate the fact that you made a little easier to understand. Hopefully for other as well
