Most Popular
1. It’s a New Macro, the Gold Market Knows It, But Dead Men Walking Do Not (yet)- Gary_Tanashian
2.Stock Market Presidential Election Cycle Seasonal Trend Analysis - Nadeem_Walayat
3. Bitcoin S&P Pattern - Nadeem_Walayat
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
4.U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - Raymond_Matison
5. How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - Nadeem_Walayat
7.Bitcoin Gravy Train Trend Forecast 2024 - - Nadeem_Walayat
8.The Bond Trade and Interest Rates - Nadeem_Walayat
9.It’s Easy to Scream Stocks Bubble! - Stephen_McBride
10.Fed’s Next Intertest Rate Move might not align with popular consensus - Richard_Mills
Last 7 days
Stocks Correct into Bitcoin Happy Thanks Halving - Earnings Season Buying Opps - 4th July 24
24 Hours Until Clown Rishi Sunak is Booted Out of Number 10 - UIK General Election 2024 - 4th July 24
Clown Rishi Delivers Tory Election Bloodbath, Labour 400+ Seat Landslide - 1st July 24
Bitcoin Happy Thanks Halving - Crypto's Exist Strategy - 30th June 24
Is a China-Taiwan Conflict Likely? Watch the Region's Stock Market Indexes - 30th June 24
Gold Mining Stocks Record Quarter - 30th June 24
Could Low PCE Inflation Take Gold to the Moon? - 30th June 24
UK General Election 2024 Result Forecast - 26th June 24
AI Stocks Portfolio Accumulate and Distribute - 26th June 24
Gold Stocks Reloading - 26th June 24
Gold Price Completely Unsurprising Reversal and Next Steps - 26th June 24
Inflation – How It Started And Where We Are Now - 26th June 24
Can Stock Market Bad Breadth Be Good? - 26th June 24
How to Capitalise on the Robots - 20th June 24
Bitcoin, Gold, and Copper Paint a Coherent Picture - 20th June 24
Why a Dow Stock Market Peak Will Boost Silver - 20th June 24
QI Group: Leading With Integrity and Impactful Initiatives - 20th June 24
Tesla Robo Taxis are Coming THIS YEAR! - 16th June 24
Will NVDA Crash the Market? - 16th June 24
Inflation Is Dead! Or Is It? - 16th June 24
Investors Are Forever Blowing Bubbles - 16th June 24
Stock Market Investor Sentiment - 8th June 24
S&P 494 Stocks Then & Now - 8th June 24
As Stocks Bears Begin To Hibernate, It's Now Time To Worry About A Bear Market - 8th June 24
Gold, Silver and Crypto | How Charts Look Before US Dollar Meltdown - 8th June 24
Gold & Silver Get Slammed on Positive Economic Reports - 8th June 24
Gold Summer Doldrums - 8th June 24
S&P USD Correction - 7th June 24
Israel's Smoke and Mirrors Fake War on Gaza - 7th June 24
US Banking Crisis 2024 That No One Is Paying Attention To - 7th June 24
The Fed Leads and the Market Follows? It's a Big Fat MYTH - 7th June 24
How Much Gold Is There In the World? - 7th June 24
Is There a Financial Crisis Bubbling Under the Surface? - 7th June 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Proshares Bitcoin BITO ETF Marks a Huge Milestone for Crypto Currencies

Currencies / cryptocurrency Oct 28, 2021 - 10:58 PM GMT

By: Stephen_McBride

Currencies After years in the making, it finally happened…

On October 15, the Securities and Exchange Commission (SEC) approved the first-ever bitcoin ETF.

On October 19, the ProShares Bitcoin Strategy ETF (BITO) debuted on the New York Stock Exchange.

This is a big, big milestone.



In short, this new ETF makes it easier than ever to access bitcoin (BTC)—through the stock market. It’s an opportunity for millions of investors who want exposure to bitcoin without having to open a dedicated crypto account.

Owning BITO isn’t quite the same as owning bitcoin directly. But it’s close. And it’s a lot better than the current options…

Until now, the closest thing to a bitcoin ETF was the extremely popular GBTC Greyscale Bitcoin Trust (GBTC).

GBTC only loosely tracked the actual price of bitcoin—and often diverged from it by 20% or more.

BITO should track the price of bitcoin much more closely. Now that the SEC has greenlit it as a crypto ETF, GBTC has announced it intends to convert to an ETF as well.
  • This is a great step forward for the growth of the crypto market…

I’m glad bitcoin has brought so much attention to cryptos.

But make no mistake. Bitcoin is just the tip of the iceberg in this opportunity.

What's going on underneath the surface is far more important.

And ultimately, it will be more profitable...

  • In short: A whole new “stock market” is forming in crypto…

Cryptos are a place where everyday investors with as little as $10 can invest in the world’s most disruptive young tech companies.

This has never existed before.

It’s an exciting new frontier for investors. And it’s the main reason why the popular narrative on cryptos is completely wrong…

Most folks think of cryptos as “currencies” that compete with the US dollar. They think people might someday keep their savings accounts in bitcoin, and pay for everyday things with bitcoin.

This is the least exciting aspect of cryptos.

  • The cryptos I’m most interested in represent true ownership stakes in real, disruptive, cash-generating businesses.

As I explained earlier this month, the technology behind bitcoin and all other cryptos is called “blockchain.”

Blockchain has essentially transformed what computers can do. I won’t bore you with the technical details. All you need to know is that today’s newest and most innovative companies are being built on the blockchain.

I’m talking real companies… making real money… using the blockchain to disrupt some of today’s most exciting industries.

You can invest in these companies by buying crypto “tokens” in them.

Which is just like buying shares in a company that trades on the stock market. Think of a token like equity or shares in the business.

  • Today, many of the most exciting, cutting-edge business ideas are happening on the blockchain: not in the stock market.

When asked about bitcoin late last year, legendary trader Paul Tudor Jones said the crypto was like “investing in a startup tech company.”

That’s important because all sorts of rules and barriers typically stop everyday investors from accessing early-stage opportunities.

For example, you have to be “accredited” to invest in most private companies. And you often need to invest a minimum of $50,000 or $100,000.

So the average guy is locked out.

Cryptos knock down those barriers. Unlike the stock market, cryptos aren’t dominated by Wall Street.

And you can buy tokens in many crypto startups for $10. Sometimes less.

  • For example, consider the startup called Helium.

This company sells hotspot routers you can install on your roof.

Their signal reaches about 200X further than a standard Wi-Fi connection. You can then “sell” internet to nearby folks through this Helium router. For doing that, you get rewarded with Helium tokens which you can exchange for real US dollars.

Helium’s making real money selling these routers today.

But Helium’s not listed on the stock market. You must buy its token, HNT, to participate in its rapid growth. Helium’s token has appreciated over 2,500% in the last year.

  • A question I often get is: “Can I buy Coinbase (COIN) stock to profit off the growth of crypto?”

Coinbase is the largest crypto brokerage in the US. It’s opening up this “new world” of cryptos to millions of people… in an easy-to-use app.

The short answer is “yes”—owning Coinbase is an easy way to profit off the growth of crypto.

But you should know what you’re buying in Coinbase.

You ARE buying a very large company that should do well as crypto continues to grow.

You’re NOT buying an early-stage crypto project that could return 100–1. You have to buy the specific early-stage tokens for that.

The Great Disruptors: 3 Breakthrough Stocks Set to Double Your Money"

Get my latest report where I reveal my three favorite stocks that will hand you 100% gains as they disrupt whole industries. Get your free copy here.

By Stephen McBride

http://www.riskhedge.com

© 2021 Copyright Stephen McBride - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in