Stablecoins - Selling Shovels during a Gold Rush

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Image source: Forbes

It was kind of contra intuitive - managing an asset that does not appreciate (or for WSB fellas depreciate) in price appears to be much, much more profitable than simply buying low and selling high.

It is actually the new Smart Money Hype. Issuing a Stablecoin comes up the better thing to do. As if you are selling shovels during the Gold Rush. And since Stablecoin market is on the constant rise, Big Money (we call it Smart Money too) are preparing for the next act. And the next act is called ETF.

Question #1: Did we make any profits from the rise of the Stablecoins?

ETFs - The Next Honey Pot

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Image source: Medium

ETFs Make Up 32% of Exchange Volume in 2022 when it comes to company stocks.

BTC and ETH ETF applications are pouring like cats and dogs recently. And while we hope it is a step towards the mass adoption, there is additional angle to it. Allowing VC, Wall Street Hedge Funds, Pension and Mutual funds to use their algos to buy, hold and sell BTC and ETH will result in one (or all) of the following:

• CEX trade volume will decrease substantially
• BTC and ETH price will stay within tighter range
• Regulators will intensify their attack on DEXes to channel more money into ETFs

Question #2: Will me make any profits from the rise of ETFs?

GOLD and ETF - Price action after ETF go approved

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Sourse: Finbold

edit: Gold chart after ETF approval compared to BTC potential move has been added. Sourse: this Finbold article:

https://finbold.com/gold-surged-350-after-first-etf-approval-could-bitcoin-do-the-same/

What do you think?