Fidelity is launching a Bitcoin ETF!

Fidelity Investments Inc, which is the second biggest asset manager in the US with $4.9 trillion AUM as of 2020 and $18.2 billion in revenue, is making some moves. Unlike Gemini, Fidelity is well-known and has a solid reputation. With GBTC trading at a negative premium, I really think this could be the real deal for a Bitcoin ETF.

There is a lot of news lately pointing to the gradual adoption and normalization of Bitcoin. This is yet another one and especially relevant, I would say, as Fidelity has great renown as you say. Within a few years, having a bitcoin ETF or a mutual fund that holds Bitcoin is going to be as normal as having an S&P 500 ETF or a fund that holds shares of it.

Well! Someone senior in Fidelity possibly understands the changing financial scenario in the market and acting quickly on it to grab the opportunity before it's gone for good! In this dynamic market scenario, it is easy to loose an opportunity just in a blink of eye. So a calculated but faster approach is needed to seize that opportunity and to make the business model sustainable! That's what it is! I am sure we will see more and more such regulatory requests coming from other big fund management houses in coming months. because after Elon invested billions into bitcoin, it increases the credibility of bitcoin among the common literate people. So the business houses are stepping forward to make that happen for the common people and to fill their coffers. Nothing new in it but certainly exciting when a big brand like Fidelity associates themselves with bitcoin!

Every huge financial company is gearing towards bitcoin, and Fidelity is one of them, sure we have a lot of Bitcoin ETF's in the horizon and we haven't seen anyone being approved. But with Fidelity's reputation, maybe we can see them has a high chance of being the first one to be approved. Hopefully, this will bring another wave of investors and push the price to 6 digits at the end of the year. Elon did really open the pandora's box here.

Although I like to hear about businesses around Bitcoin, even if some don't work with actual Bitcoin (at least they give Bitcoin more legitimacy), ETFs are no longer "wow". Still nice, but not "wow". And I guess that it's no longer a news with potential to affect the price either  But yes, it's nice to have; let's see if it'll get approved though.

Indeed, they have fallen to be news that makes the headlines when you don't have anything else to write about. Probably the most important cause is that when they started ETFs were seen as the only options for WS money to flow into crypto, the latest developments have shown us that's not the case, if companies and investors want to put money into Bitcoin they can even without that, not mentioning the average Joe has right now unlimited possibilities of acquiring them. Funny though how their moment in the spotlight was over even before their actual birth.

Its where the financial markets are most likely headed now. And this is something expected from the big fishes as they have started noticing that the crypto industry which they currently don't have any exposure off might one of the reasons for a decrease in their income. Companies like Grayscale and BlockFi have pioneered crypto related investments and if these institutional giants cannot offer it to their clients they are at risk at losing some income opportunity for this market. This is just their way of filling the gaps.