I'll use gold as an example. The amount of gold traded per day in GLD and the many other funds is many hundreds if not thousand times more than the actual amount of gold in existence today. This trading has the ability to allow leveraged traders to manipulate the price up and down, and lower the true value of the asset.I understand it's exciting and legitimizing for btc to trade on there, but I don't see it as a good thing at all.Precious metals, oil, energy, etc cannot be easily physically bought. These funds have made it simple, and in turn made the prices unreliable than the actual value.BTC for the average joe, is not easy to buy, and if you see a bunch of Bitcoin headlines and want in, which is more likely? That average joe will setup an account on coinbase, or circle? Or jump on etrade and click buy 20 shares? via /r/Bitcoin http://bit.ly/2abw4gE
No comments :
Post a Comment