ETF - What's that?
𝗜𝗺𝗮𝗴𝗶𝗻𝗲 𝗮 𝗕𝗮𝘀𝗸𝗲𝘁 : Think of a basket that you can fill with different things.
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𝗜𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 𝗕𝗮𝘀𝗸𝗲𝘁 : Now, instead of things, imagine you can put investments in this basket, like stocks, bonds, or even cryptocurrencies.
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𝗦𝗵𝗮𝗿𝗲𝘀 𝗼𝗳 𝘁𝗵𝗲 𝗕𝗮𝘀𝗸𝗲𝘁 : The basket is divided into many pieces, like a pizza. These pieces are called "shares."
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𝗕𝘂𝘆 𝗮 𝗦𝗹𝗶𝗰𝗲 (𝗦𝗵𝗮𝗿𝗲) : You can buy a slice of this investment basket, just like ordering a slice of pizza.
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𝗗𝗶𝘃𝗲𝗿𝘀𝗲 𝗜𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 : When you own a slice of the basket, you own a bit of everything inside, like a small piece of all the investments in the basket.
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𝗘𝗮𝘀𝘆 𝗧𝗿𝗮𝗱𝗶𝗻𝗴 : You can easily buy or sell these slices on the stock market, just like you do with regular stocks.
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got it?
𝗕𝗜𝗧𝗖𝗢𝗜𝗡 𝗘𝗧𝗙 :
A Bitcoin ETF is 𝗹𝗶𝗸𝗲 𝗮 𝘀𝗽𝗲𝗰𝗶𝗮𝗹 𝗶𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 𝗽𝗶𝘇𝘇𝗮 slice that's all about Bitcoin
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𝗺𝗶𝗿𝗿𝗼𝗿 𝘁𝗵𝗲 𝗽𝗿𝗶𝗰𝗲 movements of Bitcoin
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𝘀𝗵𝗮𝗿𝗲𝘀 of a Bitcoin ETF = investing in Bitcoin's price without actually owning Bitcoin
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like 𝗯𝘂𝘆𝗶𝗻𝗴 𝘀𝗵𝗮𝗿𝗲𝘀 𝗼𝗳 𝗮 𝗰𝗼𝗺𝗽𝗮𝗻𝘆 𝗼𝗻 𝘁𝗵𝗲 𝘀𝘁𝗼𝗰𝗸 𝗺𝗮𝗿𝗸𝗲𝘁 = like getting a slice of the Bitcoin pie without needing to bake
( ETF = exchange-traded fund )
