Spot Bitcoin ETF receives official approval from the SEC

Re:Spot Bitcoin ETF receives official approval from the SEC by hn_throwaway_99 on Wednesday January 10, 2024 @05:17PM (#38944166)

The fact that Spot Bitcoin ETFs were ever contemplated into existence just shows the general insanity of crypto. After all, if you believe that cryptocurrencies, with "the code is the law" ethos and non-reputable transactions, are the wave of the future, just transact in BTC directly. If you believe crypto is actually too risky to manage individually (e.g. hacked/stolen keys) then you'd want the benefit of something like an ETF to manage your ownership. But buying an ETF that itself just holds crypto assets is either an exercise in futility or a "worst of all worlds" situation. But I guess a middle man needs to make a buck somehow...

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Re:Spot Bitcoin ETF receives official approval from the SEC by psychlops on Wednesday January 10, 2024 @05:24PM (#38944270)

> The fact that Spot Bitcoin ETFs were ever contemplated into existence just shows the general insanity of crypto.

Why is it the insanity of crypto? The action is entirely established interests putting a wrapper around crypto.

How do you suppose a large fund should purchase bitcoin? They specialize in markets, not wallet management. Many also do not hold their own cash individually and entrust institutions.

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Re:Spot Bitcoin ETF receives official approval from the SEC by hn_throwaway_99 on Wednesday January 10, 2024 @08:36PM (#38946270)

> Many also do not hold their own cash individually and entrust institutions.

Because literally the entire point of crypto is to not have to "entrust institution". Like the entire bitcoin protocol is built around the concept of trustlessness. If you're going to start "trusting institutions", you can do away with a huge part of the complexity (and gargantuan energy usage) of Bitcoin.

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Re:Spot Bitcoin ETF receives official approval from the SEC by psychlops on Wednesday January 10, 2024 @10:37PM (#38947225)

Bitcoin isn't directing companies to start ETF's, nor is it trusting institutions. It's just a protocol. Institutions came, bought Bitcoin and are selling it to investors.

I suppose if those institutions were worthy of trust then there wouldn't be such high demand for Bitcoin's gargantuan energy usage in the first place.

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Re:Spot Bitcoin ETF receives official approval from the SEC by jMyles on Wednesday January 10, 2024 @05:21PM (#38944224)

Agreed - I think the little cryptographer in all of us regards this as a sad day.

It's going to take real courage to leave the economic systems of predation and extraction behind. Whether or not you think crypto is likely to be a large part of that motion (I do, but some reasonable folks disagree), there's nothing about this action that feels like it's part of it.

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