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/biz/ - Business & Finance

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File: 64 KB, 984x401, etf_one_stop_mainvisual_984x401_0.jpg [View same] [iqdb] [saucenao] [google]
11996180 No.11996180 [Reply] [Original]

What's stopping someone from making a publicly traded "company" that is bitcoin backed? I.E. the operations of the company are basically just have an IPO with a certain number of shares and then buy a bitcoin for each share and simply hold them. They could issue more stock any time the existing shares are trading above the value of bitcoin. This would basically be a de facto bitcoin ETF. I had this idea while looking at Squire Mining, which is a publicly traded bitcoin mining company and therefore it's stock price is somewhat related to bitcoin (although their operations obviously have a more substantial impact on the price.) Would the SEC prevent such a stock from having a IPO and getting listed? Are regulations for IPOs and listings less stringent than an ETF creation? explain why this idea is retarded because i'm sure i'm missing something.

>> No.11996192

>>11996180

Real life generally has a habit of stopping naive crypto wet dreams very quickly.

>> No.11996195

yea cause that would sure not in any way piss off regulators and nuke the already 100% confirmed bitcoin ETFs to be released during the first quarter of next year

dude just read the fucking news

>> No.11996232

you have to actually be a company if you want to get listed on the exchanges. this isn't crypto where you can slap together a scammy website and set up shop.

>> No.11996233

>>11996195
gimme sauce on these confirmed ETFs
and i know this isn't feasible because if it was obviously someone would have implemented it. I'm just curious about why it's not because i don't understand etf creation and listing processes very well

>> No.11996247

also $GBTC is basically this

>> No.11996248

Going public is pretty expensive. Also, you would have to issue shares constantly, which isn't as easy as you may think.

t. unironically CEO of a publicly traded tech company in Germany

>> No.11996265

isn't that basically what GBTC is?

>> No.11996300
File: 77 KB, 1178x408, Screen Shot 2018-12-03 at 2.03.49 PM.png [View same] [iqdb] [saucenao] [google]
11996300

>>11996248
interesting, after getting your company listed, do you have to do lots of maintenance type work, or does it just werk on it's own until you do a split or issuance?
>>11996265
>>11996247
didn't know this existed. Does anyone know how they maintain an accurate price? pic related

>> No.11996324

>>11996233
Didn't the SEC basically say that the crypto market is rife with price manipulation and scamming and so they will not allow a security like this?

>> No.11996326

>>11996300

You're so out of your depth here. Just deal in your cryptomemes. Real world finance would slaughter you.

>> No.11996342

>>11996326
i'm literally a finance major lmao
teach me some useful stuff please

>> No.11996761

>>11996324
no today the marketing director for nasdaq confirmed today that they are in too deep with bitcoin etf to turn back now

>> No.11996764

>>11996324
Yes and of course everyone is ignoring this post. /biz/ sucks; find a better place

>> No.11996791

>>11996326
>>11996342
hey, i would be appreciative if you just dropped me a small list of books to read or finance topics to learn about . I'm in the last year of my finance degree and i've found it to be pretty useless. I spend my time in class reading about banking and exchanging and shit like that because my professors are useless. Any info will be appreciated

>> No.11996804
File: 37 KB, 434x327, 015 (1).png [View same] [iqdb] [saucenao] [google]
11996804

>>11996791
wow i really repeated myself a lot in this post lol
>useless
>appreciate

>> No.11996815

>>11996300
>do you have to do lots of maintenance type work
You mean like supervisory board meetings, quarterly reports, yearly audits, compliance to reporting standards and other regulations, market making, investor relations, ad hoc reporting?
Nah, you're right. It probably just works on its own. That's why everyone is doing it. Literally free money, bro!

>>11996342
>i'm literally a finance major lmao
LARPers everywhere, these days. Or the state of education in the US is worse than I feared.

>> No.11996880

>>11996815
i really am a finance major. Yes, us education is this bad. i'm not at a top tier school but it's not a shitty school either. We are taught lots of specific formulas and have to memorize banking acts over the last 100 years but we aren't taught anything about what the financial system actually is or how it works- basically the only useful thing to learn. I know how to calculate bond duration and a lot of other shit that i likely won't need for my job and if i do need it i'll probably have to relearn it anyways