3 Comments
Mar 12Liked by Bitcoin Magazine Pro

Thank you for the informative article on Bitcoin ETFs. I found it very engaging and insightful. I have a few queries and suggestions that could potentially enhance the understanding for readers like myself who are keen on exploring deeper into this topic:

Could you elaborate on the structures of ETFs, particularly focusing on how they are constructed and function in the context of cryptocurrency?

I am curious about the conversion rates within these ETFs:

Specifically, how many iBit shares are equivalent to one Bitcoin?

Additionally, how many Satoshis (sats) are there in one iBit share?

It would be helpful to understand the valuation of iBit shares:

Does the fluctuation in value of an iBit share influence its Bitcoin content?

Can you explain the "colateral" mechanism of Bitcoins for the ETF? How often is the Bitcoin price updated for ETF purposes—is it on a daily basis, real-time, or another interval?

I am interested in the marketing strategies employed for these products:

How does BlackRock, or similar entities, approach the marketing of their Bitcoin ETFs?

Is there an indication that the marketing efforts are drawing in new investors to the Bitcoin space, particularly through the iBit product?

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author

Thank you so much for your thoughtful feedback on our article regarding Bitcoin ETFs! I genuinely appreciate the time you took to read it and for providing such insightful queries and suggestions. Your questions delve into crucial aspects of ETF structures, conversion rates, valuation, and marketing strategies—all fundamental to deepening our understanding of Bitcoin ETFs.

I've brought your topics to the attention of the Bitcoin Magazine Pro editorial team, and we're excited to tackle these points. We aim to address your queries and enhance our future content to provide a more comprehensive exploration of these topics.

Your engagement helps us improve and enrich our content, making it more valuable for readers like yourself who are eager to explore the Bitcoin space more deeply. Stay tuned!

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Mar 14·edited Mar 14

Thank you, for your reply!

Because just reading your reply has already brought pleasure and a warm smile.

There is another critically interesting question

If the etf buys t+1 then how do otc dest fix the price for them?

Just to clarify when the otc desk fixes the price for the etf otc

Then otc probably uses a combination of derivatives, which probably leads to a lack of liquidity in the derivatives market, which probably opens up the opportunity to arbitrage spot and derivatives.

So is it possible that otc desk price fixing for etf btc, by a cascade of actions creates consequences on the spot? It would be super fascinating to learn even about a theoretical (hypothetical) but professional view.

on this question

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