Winklevoss twins are planning to start a Bitcoin ETF

[peilthetraveler]

http://www.sec.gov/Archives/edgar/data/1579346/000119312513279830/d562329ds1.htm

They just filed this today so they are getting ready to do this. They say they have a proprietary security system to keep the bitcoins safe, but I think you put 250k bitcoins in an account and hackers everywhere are going to try to steal it.

 

[Pekelo]

Discussion on the matter:

http://www.reddit.com/r/Bitcoin/comments/1hghvk/winklevoss_twins_file_to_launch_bitcoin/?sort=new

I will quote some of the more interesting ones:

"This is actually bearish for Bitcoin. Does anyone remember when the GLD and SLV etf's came out? It destroyed volume in the NYMEX pits of the actual physical gold and silver markets. Bitcoin could nosedive sharply. I'm a seller."

"so if this is so great, why did the exchange rate tank today?" (under$90)

"TLR: If the SEC approves their attempt to sell this trust on stock exchanges, you'll soon be able to buy shares that represent a portion of the fund's bitcoin holdings in the same way as you would buy a mutual fund (through a broker dealer)."

 

[vbtrade]

Am I the only one who doesn't get why people would trade real money for Bitcoins?

 

[Rearden Metal]

The feds won't allow bitcoins to survive much longer.

http://en.wikipedia.org/wiki/Liberty_Dollar

 

[bond_trad3r]

Genius and/or stupid pump and dump. Winklevoss twins were early investors in bitcoins and have amassed millions of them. But their isn't enough demand to unload the bitcoins without having prices plummet. This is a lame attempt to legitimize bitcoins and bring in other people's money via their ETF so the can unload their stockpile at high prices.


I kinda hope this goes through anyway since it would be such a fun product to trade. Bitcoins can double in price one day and is one hack away from being nullified.

 

[marketsurfer]

Quote from Rearden Metal:

The feds won't allow bitcoins to survive much longer.

http://en.wikipedia.org/wiki/Liberty_Dollar

I don't think the Feds can stop bitcoin. It's like closing piratebay or bit torrents --- non centralized global enterprises. surf

 

[bond_trad3r]

Quote from marketsurfer:

I don't think the Feds can stop bitcoin. It's like closing piratebay or bit torrents --- non centralized global enterprises. surf

They can hit the money launderers like they did online poker. Freeze bank accounts on trafficking or tax concerns. The fed can easily shut it down. Right now they just tolerate its existence.

 

[MoreLeverage]

Quote from bond_trad3r:

They can hit the money launderers like they did online poker. Freeze bank accounts on trafficking or tax concerns. The fed can easily shut it down. Right now they just tolerate its existence.

And yet online poker is still played for money. There will always be uncooperative offshore venues where a BC exchange could operate, although the Feds can make it harder on US citizens to use them ala restrictions on funds transfers.

It does seem that there would be a good market for BC for small, cost less online transactions where credit / debit card costs are quite high as a % or even prohibitive.

 

[peilthetraveler]

Quote from vbtrade:

Am I the only one who doesn't get why people would trade real money for Bitcoins?

Because its literally the perfect way to hide money. If you wanted to launder drug money for example.

Of course anyone who has thoroughly examined bit coin, would never put one red cent into it because as anonymous as you can be when you own it, you can be just as anonymous to steal it too. I read too many stories of people getting bitcoins stolen to ever buy a bitcoin. At least if someone steals actual physical money from you, there is a chance you can catch them on video, CCTV or they leave fingerprints. With bitcoins, some 14 year old in Pakistan or Bangladesh, can literally pickpocket you and there is NOTHING you can do about it.