4 ms·
Can you describe (simplified if necessary) the mechanism by which Blackrock would use this ETF to suck money out of the system?
by crtified 3y ago
Can you describe (simplified if necessary) the mechanism by which Blackrock would use this ETF to suck money out of the system?
- deleted 3y ago[deleted]
- gruez 3y agoThe only coherent interpretation I can think of is through the management fees they'll charge. Based on existing bitcoin products, it'll likely be in the neighborhood of 1-2%. I don't see the issue with it though. They're providing a service (ie. being able to invest in bitcoin in an institution friendly way), and are charging a fee for it. You may think the service is worthless, but it's still strange to characterize it as "sucking money out of the system". I don't care for fine art, and I think the premium paid for them is worthless, but I wouldn't characterize companies involved in the transaction (eg. Sotheby's) as "sucking money out of the system".