Sep. 8, 2023
I think Bitcoin ETFs help decrease volatility in the long run, posing a benefit to BTC holders and countries such as El Salvador, which are nationalizing the currency. Moreover, more investors and consumers seeing BTC in mainstream capital markets will ease concerns, paving a future regulatory pathway that is pro-security and pro-investment. Lastly, this could serve as a great gateway to mainstreaming blockchain technology, providing a long-term gain to banks and privacy within the United States. Should the Fed eventually want to introduce a crypto US Dollar, small steps such as BTC ETF legalization would most likely increase consumer confidence in the initiative. I wrote my Spring 2023 senior thesis in economics on BTC adoption in El Salvador, and would be happy to share the file, which analyzed the pricing shock on the day of the announcement, and the short-term outcomes and goal completion updates.