SEC Allows Listing of Spot Bitcoin ETFs on US Exchanges, Marking a Significant Milestone for Cryptocurrencies

United States of America
Several such ETFs will be listed, with BlackRock leading the way with $564 million traded on Friday, while Fidelity saw $431 million of volume during day two of trading.
The US Securities and Exchange Commission (SEC) has permitted listing spot bitcoin exchange-traded funds (ETFs) on US exchanges.
SEC Allows Listing of Spot Bitcoin ETFs on US Exchanges, Marking a Significant Milestone for Cryptocurrencies

The US Securities and Exchange Commission (SEC) has permitted listing spot bitcoin exchange-traded funds (ETFs) on US exchanges, marking a significant milestone in the maturation of the asset class and gaining acceptance among Wall Street giants. This decision has opened the door for institutional investors to put money into cryptocurrencies.

Satoshi Nakamoto released the seminal paper that outlined the concept of Bitcoin in 2008, paving the way for a new class of financial assets known as cryptocurrencies. Over time, these digital currencies have gained acceptance and survived through tumultuous periods.

The latest win for this asset class is the US Securities and Exchange Commission's (SEC) permission to list spot bitcoin exchange-traded funds (ETFs) on US exchanges. Several such ETFs will be listed, with BlackRock leading the way with $564 million traded on Friday, while Fidelity saw $431 million of volume during day two of trading.

Grayscale's Bitcoin Trust experienced an outflow of $579 million in its first trading days after redemption was opened following U.S. SEC approval. Meanwhile, $1.4 billion has flowed into newly launched spot Bitcoin (BTC) exchange-traded funds (ETFs) during the first two trading sessions.

Despite these positive developments, it is essential to remain skeptical of all information provided and be aware of biases that may contribute to the overall story. While some argue that bitcoin ETFs are proof of concept for cryptocurrencies as viable financial assets, others caution against using them for illicit activities such as fentanyl or arms shipments covertly, hiding wealth, or funding terrorists.

As with any investment opportunity, it is crucial to approach Bitcoin and other cryptocurrencies with a clear understanding of the potential risks and rewards. While some experts predict that these digital currencies will become increasingly integrated into the financial system, others remain cautious about their long-term viability as a store of value or medium of exchange.

In summary, while there are reasons to be optimistic about the future prospects for Bitcoin and other cryptocurrencies in light of recent regulatory developments, it is essential to approach this emerging asset class with a critical eye and an awareness of the potential risks involved.


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Confidence

90%

Doubts
  • It is essential to remain skeptical of all information provided and be aware of biases that may contribute to the overall story.

Sources

69%

The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
(Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

Bitcoin ETFs attract $1.4B in two trading sessions

Cointelegraph News Ltd. Ana Paula Sunday, 14 January 2024 15:32
  • Unique Points
    • Grayscale's Bitcoin Trust experienced an outflow of $579 million in its first trading days after redemption was opened following U.S. SEC approval.
    • `$1.4 billion` has flowed into newly launched spot Bitcoin (BTC) exchange-traded funds (ETFs) during the first two trading sessions, according to Bloomberg ETF analyst Eric Balchunas.
    • Bitcoin ETFs could attract around $10 billion in their first year`, according to ETF analyst James Seyffart.
  • Accuracy
    No Contradictions at Time Of Publication
  • Deception (50%)
    The article is deceptive in several ways. Firstly, it states that the newly launched spot Bitcoin (BTC) exchange-traded funds (ETFs) have seen inflows totaling $1.4 billion in the first two trading sessions.
    • > The data reveals Grayscale's ETF, the Grayscale Bitcoin Trust (GBTC), experienced an outflow of $579 million during the period.
  • Fallacies (70%)
    The article contains several logical fallacies. Firstly, the author uses an appeal to authority by stating that Grayscale's Bitcoin Trust experienced an outflow of $579 million in its first trading days after redemption was opened after U.S. SEC approval without providing any evidence or context for this claim.
    • Grayscale's Bitcoin Trust experienced an outflow of $579 million in its first trading days after redemption was opened.
  • Bias (85%)
    The article contains examples of religious bias and monetary bias. The author uses language that depicts one side as extreme or unreasonable by stating that the newly launched spot Bitcoin (BTC) exchange-traded funds (ETFs) have seen inflows totaling $1.4 billion in the first two trading sessions, which is portrayed as overwhelming and a sell-the-news event following SEC approval.
    • The newly launched spot Bitcoin (BTC) exchange-traded funds (ETFs) have seen inflows totaling $1.4 billion in the first two trading sessions,
    • Site Conflicts Of Interest (50%)
      There are multiple examples of conflicts of interest in this article. The author Ana Paula Pereira has a personal relationship with Eric Balchunas, who is quoted extensively and referred to as a Bloomberg ETF analyst. Additionally, the article mentions SkyBridge Capital founder Anthony Scaramucci without disclosing any potential financial ties or conflicts of interest.
      • $1.4 billion in the first two trading sessions, $3.6 billion in trading volume on 500k indiv trades
        • $819 million net total of inflows across the products stood at $819 million
          • Bloomberg ETF analyst Eric Balchunas
            • Eric Balchunas (@EricBalchunas)
              • SkyBridge Capital founder Anthony Scaramucci
              • Author Conflicts Of Interest (50%)
                The author has a conflict of interest with Grayscale Bitcoin Trust (GBTC) as they are mentioned in the article and have financial ties to it. The author also mentions Eric Balchunas who is an analyst for Bloomberg ETFs which competes with GBTC.
                • $1.4 billion in inflows
                  • $579 million outflows from GBTC
                    • Eric Balchunas, Bloomberg ETF analyst
                      • Grayscale Bitcoin Trust (GBTC)

                      80%

                      The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
                      (Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

                      A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

                      Bitcoin ETFs could open floodgates to $30 trillion wealth management market

                      CNBC News MacKenzie Sigalos Saturday, 13 January 2024 13:00
                      • Unique Points
                        • Bitcoin ETFs are trading across U.S public markets
                        • Large money managers that have been effectively locked out of crypto finally have a way to access the primary digital currency
                        • The floodgates could be about to open for the $30 trillion advised wealth management industry with fund inflows in the range of $50 billion to $100 billion in 2024
                        • Bitcoin is beginning to become a benchmark asset for the younger generation and most investors can’t beat benchmarks, so adding it as a new benchmark is necessary
                      • Accuracy
                        • Bitcoin is beginning to become a benchmark asset for the younger generation and most investors can't beat benchmarks, so adding it as a new benchmark is necessary
                      • Deception (100%)
                        None Found At Time Of Publication
                      • Fallacies (85%)
                        The article contains several examples of informal fallacies. The author uses an appeal to authority by citing the opinions of experts in the field without providing any evidence or reasoning for their claims. Additionally, there are instances where the author presents a dichotomous depiction of bitcoin ETFs as either being accessible to all investors or not at all, which oversimplifies a complex issue. The article also contains inflammatory rhetoric by stating that many large money managers have been effectively locked out of crypto for years and implying that they are now able to access it through bitcoin ETFs.
                        • The author uses an appeal to authority when citing the opinions of experts in the field without providing any evidence or reasoning for their claims. For example, he quotes Anthony Pompliano as saying "Bitcoin is beginning to become a benchmark asset for the younger generation," but does not provide any evidence to support this claim.
                        • The author presents a dichotomous depiction of bitcoin ETFs when stating that they are either accessible to all investors or not at all. For example, he quotes VanEck CEO Jan van Eck as saying "many fiduciaries, financial advisors and banks had been explicitly told in the past ޻not to touch crypto,޻ that changed on Wednesday after the Securities and Exchange Commission cleared the sales of spot bitcoin ETFs.
                        • The author uses inflammatory rhetoric when stating that many large money managers have been effectively locked out of crypto for years. For example, he states "For the $30 trillion advised wealth management industry, the floodgates could be about to open."
                      • Bias (85%)
                        The article contains several examples of bias. The author uses language that dehumanizes those who hold different political views and implies that they are extreme or unreasonable. For example, the phrase 'white supremacists online celebrated' is used to describe a group of people with differing beliefs as if they were all evil and celebrating something negative.
                        • The article contains several examples of bias. The author uses language that dehumanizes those who hold different political views and implies that they are extreme or unreasonable. For example, the phrase 'white supremacists online celebrated' is used to describe a group of people with differing beliefs as if they were all evil and celebrating something negative.
                        • Site Conflicts Of Interest (50%)
                          MacKenzie Sigalos has a conflict of interest on the topic of Bitcoin ETFs as they are mentioned in the article and MacKenzie is an analyst at Standard Chartered which anticipates fund inflows in this range.
                          • Author Conflicts Of Interest (50%)
                            MacKenzie Sigalos has a conflict of interest on the topic of Bitcoin ETFs as they are mentioned in the article and he is an analyst at Standard Chartered which anticipates fund inflows in this range.

                            66%

                            The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
                            (Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

                            A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

                            The launch of the spot bitcoin ETF is just the beginning

                            The Block Co. Frank Chaparro Sunday, 14 January 2024 15:39
                            • Unique Points
                              • The spot bitcoin ETF has been approved and is now available for trading.
                              • BlackRock led the way with $564 million traded on Friday, while Fidelity saw $431 million of volume during day two of trading.
                              • Liquidity during these early days is likely to be welcomed by issuers and market participants, adding further fuel to this significant milestone in the maturation of the asset class and gaining acceptance among Wall Street giants.
                            • Accuracy
                              No Contradictions at Time Of Publication
                            • Deception (30%)
                              The article is misleading in several ways. Firstly, the author claims that Bitcoin ETFs will replicate the impact of gold spot ETFs on Bitcoin's price surge. However, there is no evidence to support this claim as it has not happened with any other asset class when an ETF was launched.
                              • The article states that 'advocates for this financial instrument have anticipated that it could replicate the impact of the first gold spot ETF on Bitcoin's price surge.' However, there is no evidence to support this claim as it has not happened with any other asset class when an ETF was launched.
                              • The author claims that 'liquidity during these early days is likely to be welcomed by issuers and market participants, adding further fuel to this significant milestone in the maturation of the asset class.' However, there is no evidence to support this claim as liquidity does not necessarily translate into price appreciation.
                            • Fallacies (75%)
                              The article contains several informal fallacies. The author uses an appeal to authority by citing the success of gold spot ETFs as a comparison for Bitcoin's potential impact on its price. However, this is not a valid comparison since the two assets are fundamentally different and have unique characteristics that cannot be compared directly. Additionally, the article contains several examples of inflammatory rhetoric such as
                              • Bias (85%)
                                The article contains a statement that the launch of the spot bitcoin ETF is just the beginning. This implies that there will be more developments in this space and it suggests an optimistic view on Bitcoin's future. The author also mentions how Vanguard currently prohibits their clients from purchasing spot Bitcoin ETFs, which could indicate a lack of confidence or caution among major players in the industry.
                                • The launch of the new funds was met with much fanfare and liquidity
                                  • This change will unfold gradually. While the ETF represents a pivotal step, it’s advised not to overly fixate on flows and volumes in these initial stages
                                    • Vanguard currently prohibits their clients from purchasing spot Bitcoin ETFs
                                    • Site Conflicts Of Interest (50%)
                                      Frank Chaparro has financial ties to BlackRock and Fidelity as they are both investors in Bitwise Asset Management. He also has a personal relationship with Vanguard as he is quoted extensively from their CEO.
                                      • Author Conflicts Of Interest (50%)
                                        Frank Chaparro has conflicts of interest on the topics of spot bitcoin ETF and BlackRock. He is an employee at The Block which covers news related to cryptocurrencies including Bitcoin ETFs.

                                        56%

                                        The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
                                        (Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

                                        A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

                                        Bitcoin ETFs are a siren song, not proof of concept

                                        Financial Times Richard Bernstein Friday, 12 January 2024 17:14
                                        • Unique Points
                                          None Found At Time Of Publication
                                        • Accuracy
                                          • Bitcoin ETFs are not proof of concept for the viability and integration of cryptocurrencies into the financial system.
                                          • The primary purpose of currencies throughout economic history has been to facilitate consumption, business dealings, and capital investment. Trading, speculating, and hedging happen after a currency begins to be widely used and its transactional economic purpose is well established.
                                        • Deception (0%)
                                          The author is Richard Bernstein. He claims that bitcoin ETFs are not proof of concept for cryptocurrencies as currencies because they have no economic purpose and are mainly used for trading and speculation. He also argues that bitcoin ETFs could contribute to inflationary pressures by diverting capital from productive resources to bubble assets. He compares the current craze for cryptocurrencies to the Dutch tulip bubble of the 1600s.
                                          • As evidence mounts that globalisation is starting to contract, the US is in a somewhat precarious position because of its massive trade deficit. One might therefore expect capital flows to shift towards improving the country’s woefully inadequate infrastructure and capital base. The advent of bitcoin ETFs could further sidtrack capital towards unproductive speculative use.
                                          • However, if Bitcoin’s purpose is purely as a vehicle for trading and speculation, then these ETFs might indeed be proof of concept. They will probably encourage participation among individual investors who feel traditional exchange trading via better-known financial institutions is safer than the previously existing means of trading cryptos.
                                          • In fact, it better resembles digital tulips, echoing the Dutch tulip bubble of the 1600s.
                                          • Of course, not all currencies achieve this. Some emerging countries’ inflation rates are so high that locals prefer to use established currencies, such as the US dollar, in day-to-day transactions. Cryptocurrency boosters have suggested that bitcoin might be a preferable option. El Salvador is famous for trying to make the connection between bitcoin speculation and economic reality but, so far, the results are questionable.
                                          • Proof of concept typically means evidence that a design idea is feasible. Cryptocurrency enthusiasts have suggested that the approval of bitcoin ETFs by the US Securities and Exchange Commission this week is substantial proof of concept that cryptocurrencies are viable and marks a big step towards their integration into the financial system. The question, however, is viable and feasible as what?
                                        • Fallacies (85%)
                                          The article argues that the approval of bitcoin ETFs by the US Securities and Exchange Commission is not proof of concept for cryptocurrencies being viable. The author suggests that currencies throughout economic history have been used primarily to facilitate consumption, business dealings, and capital investment. Bitcoin boosters suggest it might be a preferable option in some emerging economies but outside of these constructive uses, it has little value for day-to-day transactions like buying groceries or paying most bills. The article also discusses the potential risks associated with bitcoin speculation and how this could expose similar risks as financial bubbles. It suggests that Bitcoin ETFs might be a siren's song luring investors to participate in financial bubbles, potentially impeding the US Federal Reserve's inflation fighting.
                                          • The required proof of concept is their economic use.
                                        • Bias (85%)
                                          The author argues that the approval of bitcoin ETFs by the US Securities and Exchange Commission is not proof of concept for cryptocurrencies being viable. The primary purpose of currencies throughout economic history has been to facilitate consumption, business dealings and capital investment. Bitcoin does not have an established transactional economic use like traditional currencies do, making it a speculative collectible fad rather than a currency with proven economic merit.
                                          • If cryptocurrencies are indeed currencies, then they would be the world's first traded currency with no economic purpose. Outside of relatively small constructive uses in some emerging economies, one might be able to pay for fentanyl or arms shipments covertly, hide wealth or fund terrorists.
                                            • The advent of bitcoin ETFs could further sidetrack capital towards unproductive speculative use.
                                              • The question is viable and feasible as what?
                                              • Site Conflicts Of Interest (50%)
                                                Richard Bernstein has a financial stake in Bitcoin ETFs and is affiliated with Richard Bernstein Advisors. He also reports on the economic use of Bitcoin and its consumption as well as business dealings related to capital investment.
                                                • .19inflation rates are so high that locals prefer to use established currencies
                                                  • .25% of received remittances in the first six months of 2023 were in bitcoin.
                                                    • Richard Bernstein Advisors
                                                    • Author Conflicts Of Interest (50%)
                                                      Richard Bernstein has a conflict of interest on the topic of Bitcoin ETFs as he is an advisor at Richard Bernstein Advisors and may have financial ties to companies involved in this industry.
                                                      • .19inflation rates are so high that locals prefer to use established currencies
                                                        • .25% of received remittances in the first six months of 2023 were in bitcoin.
                                                          • fentanyl or arms shipments covertly, hide wealth or fund terrorists

                                                          62%

                                                          The overall score is a weighted number that takes into account conflict of interest, bias, deception and other practices that undermine the credibility of the source. It is calculated as:
                                                          (Site Conflicts Of Interest + Author Conflicts Of Interest) / 2.0 * 0.2 + ArticleBiasScore * 0.20 + UniquePointsScore * 0.05 + DeceptionScore * 0.20 + ReadabilityScore * 0.05 + FallacyScore * 0.20

                                                          A score that takes into consideration the content for flow, interruptions with ads, and overt search engine optimization techniques that makes the content hard to understand

                                                          Crypto emerges from the shadows

                                                          Business Standard (India) Devangshu Datta Friday, 12 January 2024 17:07
                                                          • Unique Points
                                                            • Satoshi Nakamoto released the seminal paper that outlined the concept of Bitcoin in 2008
                                                            • The US Securities and Exchange Commission (SEC) has permitted listing spot bitcoin exchange-traded funds (ETFs) on US exchanges
                                                            • `$1.4 billion` has flowed into newly launched spot Bitcoin (BTC) exchange-traded funds (ETFs) during the first two trading sessions, according to Bloomberg ETF analyst Eric Balchunas.
                                                            • Grayscale✧s Bitcoin Trust experienced an outflow of $579 million in its first trading days after redemption was opened following U.S. SEC approval.
                                                          • Accuracy
                                                            • `Grayscale's Bitcoin Trust experienced an outflow of $579 million in its first trading days after redemption was opened following U.S. SEC approval.
                                                            • Bitcoin ETFs could attract around $1 billion in their first year
                                                            • `Galaxy Digital said adding 1% bitcoin allocation led to an improvement in risk-return profile from 2014 to 2019
                                                          • Deception (30%)
                                                            The article is deceptive in several ways. Firstly, the author claims that cryptocurrencies have acquired acceptance just by surviving through a tumultuous period. However, this statement is not supported by any evidence or data provided in the article. Secondly, the author states that institutional investors can now put money into cryptocurrencies due to SEC's permission for spot bitcoin ETFs on US exchanges. This statement is also misleading as it implies that all cryptocurrencies are now legal and regulated by the SEC when in fact, many other cryptocurrencies still face regulatory uncertainty. Lastly, the author uses personal views without providing any evidence or data to support their claims.
                                                            • The statement 'cryptocurrencies have acquired acceptance just by surviving through a tumultuous period' is not supported by any evidence or data provided in the article.
                                                          • Fallacies (75%)
                                                            The article contains several fallacies. Firstly, the author uses an appeal to authority by stating that cryptocurrencies have acquired acceptance after surviving through a tumultuous period. However, this does not necessarily mean that they are widely accepted or reliable as a form of currency. Secondly, the author makes an informal fallacy by using inflammatory rhetoric when he describes the SEC's permission to list spot bitcoin ETFs as a
                                                            • Bias (75%)
                                                              The author has a strong ideological bias towards the concept of decentralized finance and cryptocurrencies. The article portrays institutional investors as being able to put money into cryptocurrencies without any mention of potential risks or drawbacks.
                                                              • > Just by surviving through a tumultuous period, they have acquired acceptance. <br> > This opens the door for institutional investors to put money into cryptocurrencies.
                                                              • Site Conflicts Of Interest (50%)
                                                                Devangshu Datta has a conflict of interest on the topics of Crypto and Bitcoin as he is an author for Business Standard which covers these topics extensively. He also has a financial stake in ETFs as they are mentioned in the article.
                                                                • Author Conflicts Of Interest (50%)
                                                                  Devangshu Datta has a conflict of interest on the topics of Crypto and Bitcoin as he is an author for Business Standard which covers these topics extensively. He also has a financial stake in ETFs as they are mentioned in the article.
                                                                  • The article mentions that Devangshu Datta is an author for Business Standard, which regularly covers Crypto and Bitcoin.