5% of Bitcoin ETF Profits? That’s Cool! But What’s the Catch?
TL;DR
-
This newest announcement from funding agency VanEck has us asking the query, ‘what’s the catch?’
-
On Friday, VanEck pledged 5% of potential income from its spot Bitcoin ETF (if it will get authorised), to Bitcoin core builders at Brink.
-
Possibly that is simply an honest-to-goodness well-intentioned donation, made within the hopes information publications (hello 👋) will write about it? If that’s the case, 5% looks like a steep sum to pay for a little bit of constructive press…
Full Story
You realize these conditions that make you go “that is cool…however what is the catch?”
E.g. Successful a automobile on a sport present (👈 that is cool!)
…then discovering out you are going to should pay 30% of the vehicles retail worth in taxes (👈 aaaand there’s the catch).
Yeah, effectively, this newest announcement from funding agency VanEck has us asking the identical query.
On Friday, VanEck pledged 5% of potential income from its spot Bitcoin ETF (if it will get authorised), to Bitcoin core builders at Brink, with the message:
“Your tireless dedication to decentralization and innovation is the cornerstone of the Bitcoin ecosystem, and we’re right here to help it—extra particulars to return”
Which may be very cool!
However we’re struggling to attach the dots and see what’s in it for VanEck…
Trigger (donation or no donation) Bitcoin builders and normal crypto natives aren’t going to suggest the acquisition of Bitcoin by way of an ETF – they’ll suggest direct purchases and self custody.
Whereas buyers from the world of conventional finance aren’t going to care about donations to the onerous working devs which have made Bitcoin what it’s as we speak – they’re solely going to care if including it to their portfolio will likely be of profit.
This is our greatest guess at what’s taking place right here:
Possibly it is simply an honest-to-goodness well-intentioned donation, made within the hopes information publications (hello 👋) will write about it?
If that’s the case, 5% looks like a steep sum to pay for a little bit of constructive press…
However hell, if it means Bitcoin devs getting a few of that candy candy Bitcoin ETF cash – we’ll gladly oblige!