Joseph Young, a decentralization crusader and a crypto analyst describes the actual impact that an ETF can impose over bitcoin given the great deal of hype that surrounds it. The hype sure compensates for the massive benefit that the cryptos get specifically bitcoin, in form of new investors buying their way into the crypto markets; this is certainly not a set up for a long term gain as this lasts as long as the trend sticks. Joseph Young states that managing resources to work out getting an ETF approved by the ever-critical SEC is totally worth it but this might be giving the devil way too much due than deserved. An ETF can increase the liquidity of bitcoin manifolds welcoming in a new batch of investors but portraying it as a permanent source of aid or benefit is coming up wrong to begin with. BlockPublisher got to extract some comments from Mr. Young himself discussing the very situation addressing indirectly the ETF frenzied folks.
Giving ETFs the due credit is fine but putting the extra cherry on top is simply outrageous. ETFs can sure bring in more investors but are ETFs the keys to the next crypto breakthrough rally, one cannot be sure.
Young’s statement bears waters as the recent times has seen major crypto discussions targeting ETFs that there is a lot more cryptos can do in case ETFs get approved. This is undoubtedly correct too but the thing is, this demands ample resources and attention that is totally not worth the outcome that we get out of it. The ETFs lures new investors that they should buy into the crypto markets garnering in more revenue to be turned to crypto. Young further states,
Bitcoin ETF is certainly good for increasing the liquidity of Bitcoin and exposing the asset to a new group of investors.
With a whole new batch of investors pouring cash into bitcoin, we can gather more financial resources to back bitcoin up but the real aspect crypto attention must be directed to, is the crypto mass adoption which is a feat still to be pulled. Young tends not to be convinced easily and be sold with a certain concept, the reason he has found a way and the logic to prove the intense necessity of ETFs wrong. Joseph Young also quotes some words that he has heard elsewhere bearing some rather optimistic remarks for ETFs.
“If” thinking in crypto is very tempting. I heard things like: If Bitcoin ETF is approved, 10% of investors in stock market will invest. If 10% of gold investors invest in Bitcoin, it will hit $700B. Why 10%? its fine to be optimistic but good to be skeptical too.