New Bitcoin Investment Vehicle Debuted on Wall Street, With More on the Way
A new Bitcoin-focused exchange-traded fund, ProShares Bitcoin Strategy ETF, debuted on Wall Street. ProShares Bitcoin Strategy ETF will trade in Bitcoin futures contracts that speculate on the future price of Bitcoin as opposed to the cryptocurrency itself.
In anticipation of the launch of the ETF, Bitcoin recently jumped 3%. Also, Bitcoin futures increased by 2%. Asset managers estimate that with the introduction of crypto NFTs, particularly with Bitcoin, valuation will continue to increase. Some analysts believe Bitcoin is well on its way to hitting the $100,000 mark. With reputable investors like Paul Tudor Jones and Mark Cuban betting big on Bitcoin, many people are flocking to what crypto pioneers call digital gold.
Precious metals such as gold and silver are viewed as timeless resources. Gold can protect wealth and bring security to your assets. Some people have become aware of fiat currency and the threat of an impending monetary collapse. As such, precious metals continue to bear fruit while inflation continues to grow uncontrollably. But now, new forms have arisen as an alternative or even an accompaniment to gold, with cryptocurrency and blockchain technology.
Gold had an interesting week, as the start of the fourth quarter draws in mixed reports, stemming from weak jobs reports, continued COVID-19 restrictions, record-high oil prices, supply chain bottleneck, and inflation. The Fed continues to give mix signals as to what policies they will implement to help curb inflation and give a substantial boost to the economy. Recently, the Fed’s Jerome Powell mentioned the possibility of tapering COVID era policies, but yet, we do not know what tapering measures will be implemented.
Since the creation of Bitcoin in 2009, digital currencies have become all the rage, with a total market cap of $2.25 trillion. There are over 6,500 cryptocurrencies in circulation today, all with individual characteristics and features to differentiate themselves from each other. One set of cryptocurrencies that have become very popular amongst investors is the stablecoin.
Stored away in a drawer for over a decade, this one-ounce gold coin was created with a 1,000 Bitcoin (BTC) denomination. At the time of the purchase, 1,000 BTC was worth $4,905. After years of BTC’s popularity, the coin is now worth $54 million as of October 6, 2021.
Recently, the owner, who remains anonymous, spoke with GreatCollections Coin Auctions of Irvine, California, to help with appraisal logistics for the coin. GreatCollections submitted the BTC coin with an armored detail to get certified by Professional Coin Grading Service. Recently, the coin has been certified PCGS PR70DCAM (Proof 70 Deep Cameo).
