Re: Bitcoin ETFs: Are They Actually Good for Decentralization, Long Term?
Okay, Bitcoin ETFs were huge, no doubt. They brought in a ton of institutional money, and the price definitely reacted. But here’s something I’ve been thinking about: are they actually good for Bitcoin’s decentralization in the long run?
When big players like BlackRock hold massive amounts of BTC for their ETFs, doesn't that concentrate power? It feels like we're just trading one form of centralization (fiat banks) for another (institutional custody of BTC). Or am I overthinking this, and the wider adoption benefits totally outweigh this concern? What's your take? Does mainstream access come at a cost to the core Bitcoin ethos?
https://example.com/etf-custody-debate
When big players like BlackRock hold massive amounts of BTC for their ETFs, doesn't that concentrate power? It feels like we're just trading one form of centralization (fiat banks) for another (institutional custody of BTC). Or am I overthinking this, and the wider adoption benefits totally outweigh this concern? What's your take? Does mainstream access come at a cost to the core Bitcoin ethos?
https://example.com/etf-custody-debate
If you don't want to keep your fiat money in a bank, just keep your fiat money under your bed(or in your closet).
If you don't want to buy Bitcoin ETFs or deposit BTC in centralized crypto exchanges, just don't do it. Keep your BTC in your cold wallet.
It's all personal preference. Does institutional adoption helped in pumping the Bitcoin price to 100+ thousand dollars? Yes. Is that what we all wanted? Yes. You can't eat the cake and have it at the same time. BlackRock has power on the financial markets. So what? Can we stop BlackRock from buying more Bitcoins? No, we can't.