Bitcoin ETF and the unintended consequences for cryptocurrency exchanges

in Project HOPE9 months ago

Today I would like to share with you some ideas about some information that I believe breaks the vision that many of us have about the potentialities that the approval of a Bitcoin ETF can bring, because we have not analyzed the existing disadvantages.

For example, according to Helen Partz "Bitcoin spot ETFs could generate unintended consequences for cryptocurrency exchanges such as Coinbase due to lower transaction fees, according to ETF analysts."

To wit and according to Adam Back (CEO of Blockstream), "Several industry observers have predicted that a spot BTC ETF could begin trading in early 2024, in an event that, along with the upcoming halving of Bitcoin's per-block reward expected in April"

In this regard, it is inferred that, "Once approved, a spot BTC ETF will create more price competition in the crypto industry, giving money back to exchange investors who spend large sums of money advertising their services at events like the Super Bowl."

It is to be remembered that, "ETFs are such a thin and rough industry, and some of these cryptocurrency exchanges were selling populism by making a lot of money with their really high fees"

SOURCES CONSULTED

Cointelegraph. Spot Bitcoin ETF will be ‘bloodbath’ for crypto exchanges, analyst says. Link

OBSERVATION:

The cover image does not belong to the author: @lupafilotaxia, the image was taken from: Cointelegraph

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Excellent information dear @lupafilotaxia, the adoption of the bitcoin etf can generate many changes in the market.

See you later, have a great week.

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