Pantera Capital: ETF the stock market is not so necessary, and training them can take years
SEO cryptocurrency Fund Pantera Capital believes the launch of exchange traded funds linked to the cryptocurrency one of the most overvalued market issues and is not advised to entrust the ETF expectations.
The adoption by the Commission on securities and stock exchanges of the decision in favor of the ETF launch is a process that can take years, and the effect of the emergence of a new investment vehicle may not justify the associated cryptosecurity with it expectations. This opinion was expressed during the conference, the CEO of Pantera Capital Dan Morehead.
“ETF — this is not news… I think it will be years before they appear”, — he stressed. Sounded and already used by Morehead analogy with copper, which mankind uses for thousands of years, however, the process of the preparation of the ETF with reference to copper took three years and was completed only in 2012.
In his view, institutional investors have become much more important news about the impending discovery platforms ErisX and Bakkt, and that Fidelity is preparing to provide services for the storage of cryptocurrency and brokerage services for corporate clients.
As for retail investors, the SEC, according to Morehead, does not seek to give the “widows and orphans the opportunity to buy a bitcoin ETF”. “Especially considering that they still do not know if bitcoin is officially considered a valuable paper,” he added.
On the one hand, the Morehead will not give up in the logic; indeed, the uncertainty surrounding cryptocurrencies and the lack of maturity of the market and its susceptibility to manipulation — all these reasons have been voiced many times, including most SEC. On the other hand, the position of the Morehead unlikely due to his exceptional commitment to the purity of the genre, like the old-timers like Andreas Antonopoulos.
Pantera Capital is an investor in blockchain and other projects of the industry (including such as Bakkt or ErisX) and offering customers a number of opportunities for investments in the cryptocurrency.
Therefore, the ETF, who will be able to purchase a bulk customer without much experience of the use of cryptocurrency is direct competition investment instruments Pantera Capital. Perhaps that is why Morehead doubts the ETF with the same enthusiasm as the representatives of the Ripple criticize bitcoin.
Previously, Hash#Telegraph reported that market participants continue to prepare more complex and sophisticated applications for the launch of the ETF with reference to a basket of cryptocurrencies or to several different tools.
The place and role of ETF in the development of the stock market in details was reviewed by us in a separate article, which can be found here.