Grayscale and BlackRock have proposed ETF fees, with Grayscale dropping its management fee to 1.5% as part of its proposed uplift to a spot bitcoin ETF.
The crypto sector is on tenterhooks over the potential approval of exchange-traded funds (ETFs) tied to spot trading of Bitcoin.
The crypto sector is on tenterhooks over the potential approval of exchange-traded funds (ETFs) tied to spot trading of Bitcoin. Grayscale and BlackRock have proposed ETF fees, with Grayscale dropping its management fee to 1.5% as part of its proposed uplift to a spot bitcoin ETF.
Grayscale has dropped its 2% management fee to 1.5% as part of its proposed uplift to a spot bitcoin ETF.
Michael Sonnenshein, CEO of Grayscale Investments said in an interview that they did a ton of research to evaluate similar product offerings fees including spot and futures-based ETFs in geographies around the world.
Accuracy
Sonnenshein declined to comment on any other ETF issues such as BlackRock which said its fee will start at 0.20%, rising to 0.30%.
Deception
(50%)
Grayscale is deceiving its readers by stating that it has dropped the management fee to 1.5% when in fact they are still charging a fee of 2%. They also claim to have done research on other ETFs fees but do not disclose any information about those fees or how their research was conducted.
Grayscale claims that it has dropped the management fee to 1.5% when in fact they are still charging a fee of 2%.
They claim to have done research on other ETFs fees but do not disclose any information about those fees or how their research was conducted.
Fallacies
(85%)
The article contains an appeal to authority fallacy when it quotes Michael Sonnenshein stating that the new issuers are engaging in a fee war and trying to gain assets from investors. The author does not provide any evidence or data to support this claim.
]It's not surprising to see all the new issuers coming to market here in the US, engaging in a fee war, in a race to the bottom, where they're all starting from scratch and hoping to gain assets from investors,
Bias
(85%)
Grayscale is attempting to lower its fees in order to compete with other ETF issuers. This can be seen as an attempt at monetary bias.
[Sonnenshein declined to comment on any of the other ETF issues such as BlackRock, which said its fee will start at 0.20%, rising to 0.30%.
]We did a ton of research to evaluate similar product offerings[
Site
Conflicts
Of
Interest (50%)
Ian Allison has conflicts of interest on the topics Grayscale and Bitcoin ETF as he is an employee of Jane Street which owns Virtu. He also has a professional affiliation with Macquarie Capital which may have a vested interest in the topic.
Author
Conflicts
Of
Interest (50%)
Ian Allison has conflicts of interest on the topics Grayscale and Bitcoin ETF. He is an employee of Jane Street which is a company that provides liquidity to cryptocurrency exchanges including Grayscale.
The SEC has reissued a warning about FOMO crypto investing just days ahead of the anticipated approval of spot Bitcoin ETFs.
Social media users have pointed out that the regulator's no go to FOMO warning comes amid heightened anticipation over spot Bitcoin ETF approvals.
#SECInvestingResolution 5: Say “NO GO to FOMO” (fear of missing out). Just because others might buy a particular investment, doesn't mean it's the right opportunity for you. Learn more about finding out what's right for you and your investing goals.
The warning mentioned celebrities and athletes promoting crypto assets, urging investors not to make financial decisions simply because popular figures were touting an investment opportunity.
Kim Kardashian agreed to pay a $1.26 million settlement to the SEC after being charged with failing to disclose that she was paid $250,000 to promote a sham token called Ethereum Max (EMAX) to her 360 million Instagram followers.
The crypto industry is currently watching the Bitcoin ETF space with bated breath. Senior Bloomberg ETF analyst Eric Balchunas predicts that most applicants will be approved within the week, or at least those who met the regulator's requirements before Dec. 29, will be approved within the week.
The SEC has slapped celebrities with fines and penalties for their role in promoting certain cryptocurrencies.
Accuracy
No Contradictions at Time
Of
Publication
Deception
(30%)
The article is deceptive in several ways. Firstly, the author uses sensationalism by stating that there is a 'heightened anticipation over spot Bitcoin ETF approvals'. This statement implies that something significant and positive will happen when in fact it's not clear what the outcome of these approvals will be. Secondly, the article quotes several sources without disclosing them which makes it difficult to verify their credibility. Thirdly, the author uses selective reporting by only mentioning Bitcoin ETFs while ignoring other cryptocurrencies and NFTs that are also subject to FOMO investing risks.
The article quotes several sources without disclosing them which makes it difficult to verify their credibility. For example, the author mentions that 'the SEC's Office of Investor Education again warned retail investors of the risks associated with digital assets'. However, they do not provide any information on who or what this office is.
The article states 'Social media users have pointed out that the regulator's no go to FOMO warning comes amid heightened anticipation over spot Bitcoin ETF approvals.' This statement is deceptive because it implies a positive outcome for Bitcoin ETFs when in fact there is uncertainty about their approval.
The article uses selective reporting by only mentioning Bitcoin ETFs while ignoring other cryptocurrencies and NFTs that are also subject to FOMO investing risks. For example, the author mentions 'meme stocks' but does not discuss their potential for deception.
Fallacies
(75%)
The article contains several examples of informal fallacies. The author uses an appeal to authority by citing the SEC's warning about FOMO investing and referencing past fines imposed on celebrities for promoting cryptocurrencies. Additionally, the author presents a dichotomous depiction of Bitcoin ETFs as either being approved or not approved, which oversimplifies a complex issue. The article also contains inflammatory rhetoric by warning investors about potential losses and urging them to be cautious when making investment decisions.
The SEC's Office of Investor Education again warned retail investors of the risks associated with digital assets, including meme stocks, cryptocurrencies and nonfungible tokens (NFTs).
Several users across social media theorized the report could suggest the SEC will soon approve one or more spot Bitcoin ETFs that are currently awaiting a decision sometime before a Jan. 10 deadline.
The crypto industry is currently watching the Bitcoin ETF space with bated breath.
Bias
(85%)
The author uses language that implies a negative bias towards the crypto industry and its investors. The use of phrases such as 'fear of missing out' (FOMO) and 'meme stocks' creates an impression that the author is dismissive of these investments.
> Bitcoin, Ether (ETH) and many other altcoins reached new all-time highs by November 2021. The warning was issued again around March 2022 when markets were cooling.
Site
Conflicts
Of
Interest (50%)
The article discusses the SEC's reissuance of a warning against investing in cryptocurrencies due to fear of missing out (FOMO) amidst hope for spot Bitcoin ETFs. The author is Tom Mitchelhill who has previously written articles about crypto and NFTs, which could indicate a financial interest or bias towards these topics.
The article discusses the SEC's reissuance of a warning against investing in cryptocurrencies due to fear of missing out (FOMO) amidst hope for spot Bitcoin ETFs. The author is Tom Mitchelhill who has previously written articles about crypto and NFTs, which could indicate a financial interest or bias towards these topics.
The article discusses the SEC'S reissuance of a warning against investing in cryptocurrencies due to fear of missing out (FOMO) amidst hope for spot Bitcoin ETFs. The author is Tom Mitchelhill who has previously written articles about crypto and NFTs, which could indicate a financial interest or bias towards these topics.
Author
Conflicts
Of
Interest (50%)
The author has a conflict of interest on the topic of FOMO as they are using it in their title and headline to draw attention to an article about SEC reissuing its warning against investing in cryptocurrencies due to fear of missing out. The use of this term is misleading and could be seen as promoting the idea that investors should rush into buying cryptocurrency without fully understanding the risks involved.
The author uses FOMO in their title and headline, which suggests they are encouraging readers to invest in cryptocurrencies despite SEC's warning against it.
Tiger Woods and Nike have ended their partnership after 27 years.
Grayscale has dropped its 2% management fee to 1.5% as part of its proposed uplift to a spot bitcoin ETF.
Deception
(0%)
The article is deceptive in several ways. Firstly, the title mentions Tiger Woods and Nike ending their partnership after 27 years but does not provide any context or details about why this happened. This creates a false sense of urgency for readers to click on the link without providing them with enough information to make an informed decision.
The title mentions Tiger Woods and Nike ending their partnership after 27 years but does not provide any context or details about why this happened.
Fallacies
(0%)
The article contains an appeal to authority fallacy. The author states that over a million readers pay to read the Financial Times without providing any evidence or context for this claim.
Bias
(85%)
The article contains a monetary bias. The author mentions the price of subscriptions to FT's digital and print editions multiple times throughout the body of the article.
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BlackRock's fee will start at 20 basis points for the first 12 months until the fund reaches $5 billion and then settles at 30 bps.
Grayscale has dropped its management fee to 1.5% as part of its proposed uplift to a spot bitcoin ETF.
Accuracy
No Contradictions at Time
Of
Publication
Deception
(30%)
The article is deceptive in several ways. Firstly, it presents the fees of different ETF providers as if they are all set and final when in fact these fees may change over time. Secondly, it implies that BlackRock's fee is lower than expected when actually their fee starts at 20 basis points for the first 12 months which is higher than what was predicted by Bloomberg Intelligence's ETF analyst James Seyffart. Thirdly, the article presents these fees as a way of differentiating between providers but fails to mention that other factors such as investment strategy and management team also play a significant role in differentiation.
Invesco and Galaxy are waiving their fee entirely for the first six months until its fund reaches $5 billion in assets. Thereafter, a fee of 0.59% will apply.
BlackRock said in its final S-1 filing that its fee will start at 20 basis points for the first 12 months until the fund reaches $5 billion and then settles at 30 bps. The figure is lower than that predicted by Bloomberg Intelligence's ETF analyst James Seyffart, who said last week he expected BlackRock and Fidelity to charge 0.39%.
Fallacies
(70%)
The article contains several fallacies. The first is an appeal to authority when it mentions Bloomberg Intelligence's ETF analyst James Seyffart predicting that BlackRock and Fidelity would charge a certain fee. This prediction is not necessarily accurate or reliable, as the SEC has yet to approve any Bitcoin ETF in the US.
BlackRock said in its final S-1 filing that its fee will start at 20 basis points for the first 12 months until the fund reaches $5 billion and then settles at 30 bps. The figure is lower than that predicted by Bloomberg Intelligence's ETF analyst James Seyffart, who said last week he expected BlackRock and Fidelity to charge 0.39%.
Bias
(85%)
The article contains multiple examples of bias. Firstly, the author uses language that dehumanizes white supremacists by describing their celebration as 'dog-whistling' and 'verified accounts on X celebrating'. This is an example of religious bias. Secondly, the author describes a conspiracy theory without providing any evidence to support it which is an example of ideological bias. Lastly, the article contains multiple examples where authors are quoted with no context or explanation as to why they were chosen for their quotes.
dog-whistling and wild conspiracy theories like QAnon
verified accounts on X celebrating
Site
Conflicts
Of
Interest (50%)
The article discusses the fees charged by various companies for Bitcoin ETFs. BlackRock and Fidelity are mentioned as potential providers of such funds. The author does not disclose any conflicts of interest.
The crypto sector remains on tenterhooks over the potential approval of exchange-traded funds tied to spot trading of Bitcoin
Grayscale and BlackRock have proposed ETF fees.
Senior Bloomberg ETF analyst Eric Balchunas predicts that most applicants will be approved within the week, or at least those who met the regulator's requirements before Dec. 29, will be approved within the week.
Accuracy
Bitcoin was rising
The crypto sector remains on tenterhooks over the potential approval of exchange-traded funds tied to spot trading of Bitcoin, with a regulatory deadline looming Wednesday.
Deception
(50%)
The article is deceptive in several ways. Firstly, the title suggests that Bitcoin's price has risen when it hasn't. Secondly, the author uses sensationalism by stating that cryptocurrencies are on tenterhooks over a potential approval of ETFs tied to spot trading of Bitcoin with a regulatory deadline looming Wednesday.
The author uses sensationalism by stating that cryptocurrencies are on tenterhooks over a potential approval of ETFs tied to spot trading of Bitcoin with a regulatory deadline looming Wednesday.
The title suggests that Bitcoin's price has risen when it hasn't.
Fallacies
(100%)
None Found At Time Of
Publication
Bias
(100%)
None Found At Time Of
Publication
Site
Conflicts
Of
Interest (50%)
Adam Clark has conflicts of interest on the topics Bitcoin and crypto sector as he is reporting for Grayscale which is a company in the cryptocurrency industry. He also reports on BlackRock's proposed ETF fees which could be seen as an attempt to gain market share in the exchange-traded funds (ETF) space.
Adam Clark reports on Grayscale's proposed ETF fees, stating that 'Grayscale is seeking to charge a management fee of 0.4% for its Bitcoin-linked trust.'
Adam Clark writes about Bitcoin and crypto sector, stating that 'Bitcoin has been one of the hottest investments over the past year.'
Author
Conflicts
Of
Interest (50%)
Adam Clark has conflicts of interest on the topics Bitcoin and crypto sector as he is reporting for Grayscale. He also has a conflict of interest with BlackRock as they are mentioned in relation to an ETF proposal.
BlackRock, the world's largest asset manager, has announced plans to launch a Bitcoin-based exchange-traded fund (ETF) with Grayscale.
Grayscale is a cryptocurrency investment firm that manages over $20 billion in assets under management (AUM).
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