Coney_Croft on Nostr: Let me see if I got this right. Buying into a Bitcoin ETF, is essentially taking ...

Let me see if I got this right. Buying into a Bitcoin ETF, is essentially taking bitcoin off the market and locking it up in a cage, never to be used as it was designed to be used. It’s being seen as a commodity, but this commodity is not used to make anything with, and also never disintegrates or spoils. It’s not being used as a utility of which it was meant to be. It’s just a storage container for Fiat money. You put the Fiat in the storage compartment, and hopefully like a fine wine, the fiat appreciates in value. You can then take the Fiat out of storage and spend it. The storage container which is Bitcoin remains with the ETF, waiting for more Fiat to be stored in it. But isn’t the value of Bitcoin really in its utility. What if Bitcoin has no utility any longer because the ETF’s have captured so much of it, that the network is not really used any longer. Wouldn’t the value of this container become less over time if its utility was diminished. Kind of like a barrel storing a fine wine, but instead the wine spoils in the barrel. The barrel is no good any longer and must be discarded. If the people that have their fiat stored in this container find that the fiat is not appreciating as they expected, they will want to remove their fiat from these containers and store it somewhere else. Will the ETF’s then be stuck with these containers that will never spoil, and find themselves in a spot that they will need to dump these empty containers on the open market, so that they may eventually become the utility that they were supposed to be. Will the network survive this?