3 December 2017

Is it too Late to Invest in Bitcoin?

Why You Haven’t Missed the Best Bitcoin Gains

Mr. Li, MBA

Lead Research Analyst for Mr. I
On November 18, 2004, the US Securities and Exchange Commission (SEC) made a big announcement.
It approved the world’s first gold exchange-traded fund (ETF)
By the end of that year, the fund was worth $1.3 billion… Seven years later, it had become the world’s largest ETF…
Like other ETFs, GLD is a security that trades like a stock. The goal of the fund was to expose more people to gold ownership.
It was an immediate hit…
By the end of 2004, it had already accumulated $1.3 billion in assets. That was just the beginning.
At year-end 2005, it had accumulated $4.3 billion in assets. By 2006, it climbed to $9.3 billion. And it would go on to top $75 billion in assets.
In fact, the gold ETF became the world’s largest private owner of gold bullion in the world.
The gold price followed. From $442 at the launch of the ETF, gold rose 89% and stood at $834 by the end of 2007.
What’s interesting is that the majority of participants in the gold ETF had never bought gold before.
It’s estimated that 60-80% of GLD buyers were new to gold.
GLD’s success shows you the impact regulatory approval can have for an asset.
I’m telling you this because we’re seeing a similar situation play out in Bitcoin. And just like GLD, it will send a flood of money and new investors into Bitcoin.
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