What impact will a Bitcoin spot ETF have on investors?

Daily summary of news from the crypto world, so you are always informed with the latest news

What impact will a Bitcoin spot ETF have on investors?

Bitwise research expert Ryan Rasmussen argues that the approval of a Bitcoin spot ETF is boosting confidence among investors and financial advisors, which will translate into increased demand for the cryptocurrency. This and more news in this practical daily summary so that you are always informed with the most recent events that occur within the world 

The Impact of the Bitcoin Spot ETF

📍‌Ryan Rasmussen, research analyst at Bitwise Invest, says the approval of a spot Bitcoin ETF will substantially boost demand for Bitcoin. During your participation in the program Power Lunch from CNBC this week, Rasmussen he highlighted that nearly 80% of the wealth in the United States does not have access to the Bitcoin market. For this reason, the approval of a Bitcoin spot exchange-traded fund or ETF in the country will significantly increase the demand for this cryptocurrency. 

Through a Bitcoin Spot ETF, investors can gain direct exposure to the market price of Bitcoin, without needing to own or hold the cryptocurrency. For this reason, a Bitcoin Spot ETF has become the most anticipated investment vehicle for US investors today. 

According to Rasmussen, Bitwise has been conducting several surveys over the past 5 years to understand the preferences of financial advisors regarding how they prefer to access Bitcoin and the rest of the cryptocurrencies on the market. The results highlight a spot ETF as the preferred vehicle for entering the crypto world, by an overwhelming margin. 

In the middle of last week, Rasmussen also reported that financial advisors' interest in Bitcoin has increased substantially as confidence grows in the potential approval of a spot Bitcoin ETF. According to the analyst, the percentage of allocation that financial advisors are potentially considering in Bitcoin has increased from 1% to 5%, actually. 

Deutsche Post to launch NFT stamp in November

📍‌Deutsche Post, a subsidiary of DHL Group, will present a historic stamp generated by Artificial Intelligence, which will be minted as an NFT next month. According to the national postal agency, the stamp is designed to depict historical sites and buildings in Germany, in order to meet the needs of the country's philatelic community and merge the traditional world with technology. 

The first stamp will be issued by Germany's Federal Ministry of Finance and will feature an AI-generated image of Berlin's Brandenburg Gate. 

In addition to the digital version as an NFT token, the stamp will also be available in a physical version. In total, 250.000 units of this historic stamp will be created, the postal agency noted, also reporting on the great enthusiasm and positive response from collectors and enthusiasts. 

So far, Germany has been one of the countries that has been most embracing the innovation and revolution of blockchain technology. 

USDT dominates the crypto market in Brazil

📍‌USDT trading volume in Brazil accounts for 80% of the crypto market, according to a Bitcoin Insider report. According to data backed by Brazil’s tax agency, more than $55.000 billion has been transacted using USDT, the centralized stablecoin issued by Tether, in the country this year. This represents more than three-quarters of the cryptocurrency trading volume seen in Brazil since January.

The trading volume of USDT in Brazil is almost double that of Bitcoin, the most capitalized cryptocurrency on the market. According to the data, Bitcoin transactions amount to around $30.000 billion at present, making it the second most in-demand cryptocurrency among Brazilians. 

The largest operation with USDT in the South American country could respond to the first bad economic signs of President Lula Da Silva's administration. And according to data from the Central Bank of Brazil, Inflation has already risen to 5,5% since his mandate (January 1, 2023), which would explain why many businesspeople and citizens in the country are seeking refuge in stable currencies, as has happened in other countries in the region such as Argentina and Venezuela.

Saudi Arabia to invest in Web3

📍‌NEOM, a Saudi Arabian sovereign wealth fund, is investing in Web3, Animoca Brands. Recently, both projects signed a understanding agreement in which NEOM commits to invest $50 million in the company Web3, in order to accelerate the development and adoption of new technologies.  

Majid Mufti, CEO of NEOM Investment Fund, said the strategic partnership with Animoca Brands will serve to boost the development of NEOM’s digital infrastructure through innovation and technology. 

For his part, Yat Siu, co-founder and executive chairman of Animoca Brands, highlighted that NEOM's arrival in the digital ecosystem fuels his belief that Web3 is emerging as a meta-nation. Through NEOM, Saudi Arabia “could become the first region to fully harness the power of blockchain,” Siu emphasized. 

Continue reading: Cryptocurrency funds see biggest inflows since June 2022

IMPORTANT: The content of this article is for informational purposes only and, in no case, what is written here should be taken as investment advice or recommendations. Bit2Me News reminds you that before making any investment you should educate yourself and know where you invest your money, as well as the pros and cons of the system. We separate ourselves from the actions and consequences that ignorance may entail. If you decide to invest in this or another asset class, you are solely responsible for the consequences that your decisions and actions may have.