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#57 ETF Do You Mean?

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#57 ETF Do You Mean?

Proshares Bitcoin futures ETF set to launch on NYSE tomorrow

Oct 18, 2021
7
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#57 ETF Do You Mean?

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What to know where crypto markets are heading next? Check out the Foot Guns Cheat Sheet.

FG Cheat Sheet


It was announced over the weekend that a Bitcoin Futures ETF will launch this week and confirmed this morning to go live Tuesday October 19th on the NYSE.

Twitter avatar for @DeItaone
*Walter Bloomberg @DeItaone
*PROSHARES BITCOIN FUTURES ETF WILL LAUNCH ON NYSE TUESDAY: NYT
11:07 AM ∙ Oct 18, 2021
1,362Likes394Retweets

Is this a good thing? This news has been received with mix response including statements from global macro investor, Raoul Pal, who has recently become obsessed with crypto, that the ETF will be a net lose for retail investors.

Twitter avatar for @RaoulGMI
Raoul Pal @RaoulGMI
This is the old financial market trick - you now have to add multiple new intermediaries who all make profits - the ETF provider, clearing house, futures broker, administrator, auditor, law firm, CME and hedge fund arbs. Wall street gets richer. Retail investors lose. Again.
3:19 PM ∙ Oct 15, 2021
4,538Likes484Retweets

Other smaller are investors have been quick to point to oils crash into negative numbers which created contango with the oil futures ETF leading to a drastic underperformance.

Twitter avatar for @JoeOrsini_
Joe Orsini, CFA @JoeOrsini_
In just over one year, a futures-based ETF underperformed spot by 54.6%. Even with "backwardation" this year and returns that are similar (spot +67% and USO ETF +72%), the long-term damage has already been done. Again, in the last five-years: Spot crude +61.5% USO -37.9% 9/n
6:15 PM ∙ Oct 15, 2021
102Likes10Retweets

So, do you buy this news?

The CEO of Three Arrow Capital, Signapore based crypto investment firm, has this to say.

Twitter avatar for @zhusu
Zhu Su 🔺 @zhusu
Buy the rumor buy the news buy the dip light the fuse $BTC #Bitcoin
7:39 AM ∙ Oct 18, 2021
2,632Likes197Retweets


Here at Foot Guns we report the news for your entertainment. If you want to know where markets are going check out the Foot Guns Cheat Sheet.

FG Cheat Sheet

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#57 ETF Do You Mean?

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