Good night, women, gentleman, and crypto degenerates.
Reporting stay from the center of the motion (my desk) – we’ve simply confirmed two new developments in tales already coated this week.
It’s the discuss of the city (group chats) proper now, and right here’s what it is advisable to know:
1/ Grayscale ETF
On Wednesday, we instructed you the SEC permitted Grayscale’s new crypto ETF that options Bitcoin, Ethereum, Solana, XRP, and Cardano.
Nicely, they permitted it technically… however then put a “keep” on it, which suggests Grayscale cannot truly launch the ETF but.
Bloomberg ETF analyst Eric Balchunas thinks the SEC simply needs to finalize crypto ETF itemizing guidelines earlier than letting this one go stay.
So, the scenario: permitted in concept, not occurring in follow. For now.
2/ OpenAI vs. Robinhood
On Tuesday, we talked about Robinhood launching tokenized US shares and ETFs in Europe.
What we did not level out then, although, is that a few of these tokens symbolize personal shares – corporations you may’t put money into except you’ve gotten VC connections or hundreds of thousands to speculate.
A type of? OpenAI.
So, with that launch, Robinhood gave common retail buyers a method to get value publicity to OpenAI – one thing they will’t do by shopping for shares immediately.
Fairly rattling sick, amirite? Nicely… not everybody agrees:
Mainly, what OpenAI’s saying is that even when Robinhood’s tokens are backed 1:1 by actual OpenAI shares, you’re not legally an OpenAI shareholder.
And what does that imply for you?
👉 You’re trusting Robinhood, not OpenAI
Once you purchase one of many tokens, you’re circuitously proudly owning a bit of OpenAI.
You’re simply relying on Robinhood (or its accomplice) to carry OpenAI shares someplace.
👉 No shareholder rights
You don’t get voting rights, a say in selections, or entry to OpenAI’s financials. You simply observe the worth.
👉 Liquidity isn’t assured
These tokens solely have worth if Robinhood retains the market open.
In the event that they cease or demand drops, you may not be capable of promote.
On the similar time, hey, no less than it’s an choice. Should you simply wish to publicity to OpenAI’s value, then effective. However be sure to perceive the dangers earlier than leaping in.
And with that, I’ll return you to your repeatedly scheduled scrolling 🎙️
This was the Day by day Squeeze, thanks for studying, and good luck on the market.
Now you are within the know. However take into consideration your pals – they most likely do not know. I ponder who might repair that… 😃🫵
Unfold the phrase and be the hero you realize you might be!
