TL; DR
-
This latest announcement from investment company VanEck makes us ask the question: ‘What’s the catch?’
-
On Friday, VanEck committed 5% of the potential profits from its spot Bitcoin ETF (if approved) to Bitcoin’s core developers. Edge.
-
Maybe this is just a well-intentioned donation, made in the hope that news publications (hello 👋) will write about it? If so, 5% seems like a high price to pay for a bit of positive press…
Full story
You know those situations where you think, “That’s cool… but what’s the catch?”
For example, winning a car during a game show (👈 that’s cool!)
…and then you find out you have to pay 30% of the car’s retail value in taxes (👈 aaaand there’s the catch).
Yes, well, this latest announcement from investment firm VanEck makes us ask the same question.
On Friday, VanEck committed 5% of the potential profits from its spot Bitcoin ETF (if approved) to Bitcoin’s core developers. EdgeWith the message:
“Your tireless dedication to decentralization and innovation is the cornerstone of the Bitcoin ecosystem, and we are here to support it – more details to come”
That’s very cool!
But we’re struggling to connect the dots and see where it comes from for VanEck…
Cause (donation or no donation) Bitcoin developers and general crypto residents will not recommend purchasing Bitcoin through an ETF – they will recommend direct purchases and self-custody.
While investors from the world of traditional finance may not care about donating to the hard-working developers who made Bitcoin what it is today, they will only care if there are benefits to adding it to their portfolio.
Here’s our best guess at what’s happening here:
Maybe it’s just a well-intentioned donation, made in the hope that news publications (hello 👋) will write about it?
If so, 5% seems like a high price to pay for a bit of positive press…
But damn, if this means Bitcoin developers get some of that sweet Bitcoin ETF money, we’ll happily do it!
