Bitcoin on Stock Exchange (Is Adoption Directly Proportional to Market Volume?)

franky1

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Quote from: Debonaire217 on November 04, 2019, 10:15:09 AM

For me, if there will surely be more market adoption through this, the market volume of bitcoin will surely increase, as high demand for bitcoin will induce hodlers to sell in a higher price. Thus, making an assumption for my theory that Bitcoin Adoption is Proportional to Market Volume.

i disagree
1. at the moment the public bitcoin exchange only hold about 1.5mill coins combined(10%)
this could be 1.5million adopters owning 1 coin, it could be 15million adopters owning 0.1coin or it can b 150k adopters owning 10coin

2. with 16mill ccoins not on public exchanges these can be 1 person owning a million coins(satoshiN) or 1.6billion people owning 0.01coin each...

3. also most of these international stock exchanges are not trading actual bitcoins but shares of bitcoin. imagine a for instance an ETF where 1 coin is 100 shares... thats upto 100 adopters per coin. or 1 person.. however without changing the amount of coin hoarded by an ETF, the ETF could do a share dilution process whereby they change the shares to be 100000shares per coin. again this can be 100,000 people per coin or 1 person

so bitcoin adoption not being related to how many coins are available as it can vary.. means that the price cannot be linked to adoption

Deathwing

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Stultorum infinitus est numerus

Quote from: Red-Apple on November 05, 2019, 08:14:45 AM

Quote from: Deathwing on November 04, 2019, 10:28:39 AM

Near impossible if it's a direct adoption. Stock exchange needs and requires super-ultra-high-speed transaction rates. If I recall correctly, they even have a special "for stock exchange only" transatlantic line to Europe just for this. Bitcoin, however, is nowhere near "super-duper instant" if we want to count the confirmation times. So no, unless Lightning gets adopted...

why should a stock exchange be any different that a bitcoin exchange?! in a bitcoin exchange you first deposit your money with the exchange and get a "balance" in their database (off the blockchain) and then trade with super-ultra-high-speed. a stock exchange isn't any different in that regard either.

Stock exchange requires speed. Volatility is their life. No one is going to bother waiting for deposits and confirmation times.

Red-Apple

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Quote from: Deathwing on November 04, 2019, 10:28:39 AM

Near impossible if it's a direct adoption. Stock exchange needs and requires super-ultra-high-speed transaction rates. If I recall correctly, they even have a special "for stock exchange only" transatlantic line to Europe just for this. Bitcoin, however, is nowhere near "super-duper instant" if we want to count the confirmation times. So no, unless Lightning gets adopted...

why should a stock exchange be any different that a bitcoin exchange?! in a bitcoin exchange you first deposit your money with the exchange and get a "balance" in their database (off the blockchain) and then trade with super-ultra-high-speed. a stock exchange isn't any different in that regard either.

Kyraishi

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I think this just seems unfeasible to be honest. Stock market trades are done within seconds, and unless online wallets or something like that is organized, it would be very hard to trade such a volatile currency. Delays from the server to BTC could cost you thousands of dollars.

I also don't think just because Bitcoin gets listed on a stock exchange we are going to see huge numbers of money coming in, most traditional investors have heard about BTC, and they still wouldn't be interested in it if it was on a stock market, imo.

dothebeats

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Cashback 15%

I don’t think this will pan out for long. Stock market movements are always almost instantaneous, and I don’t think this will be fulfilled by bitcoin nor even keep up with everything. Also, what bitcoin will be on these stock exchanges could just be representations of bitcoins or just derivatives and not really actual bitcoins as we already have the traditional platforms for that. Anyways, this adoption has been happening for quite some time now and nothing will be changed, really, if ever this gets approved.

blckhawk

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Adoption is just one of the many factors that could drive up the prices. What's with an adopted currency if it isn't being used or demand for it is low.

I also do not fully agree on listing Bitcoin on stock exchange, it seems to be going nowhere. These companies listed on stock exchange are companies, with group of people that could be responsible if something goes wrong with them. Unlike Bitcoin, it's decentralized and no one would be backing it if something goes wrong, like an exploit or attack to the network.

avikz

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It all depends how it will be listed in stock market. If they are listing it as an Exchange Traded Fund or Derivative product where no physical bitcoin settlement would take place, it simply wouldn't make sense to us! Because in these case, no money would directly or indirectly flow into bitcoin market.

On the other hand, if these funds are listed as normal/physically settled instruments, it will surely fule adoption and demand both!

I have just visited the website of 3iQ fund management company and find out that they have started providing such service to the accredited investors along with physical bitcoin custody. If the same structure is replicated in the stock market, that's certainly great! Reference below,

https://3iq.ca/3iq-bitcoin-trust/

Deathwing

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Stultorum infinitus est numerus

Near impossible if it's a direct adoption. Stock exchange needs and requires super-ultra-high-speed transaction rates. If I recall correctly, they even have a special "for stock exchange only" transatlantic line to Europe just for this. Bitcoin, however, is nowhere near "super-duper instant" if we want to count the confirmation times. So no, unless Lightning gets adopted...

oleg681010

jr. member

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Why not? That sounds like a pretty good idea.Bitcoin is quite suitable for this.

Debonaire217

sr. member

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In Code We Trust

A Canadian Fund Manager is planning to list Bitcoin fund on some major stock exchanges that might be considered as the first regulated major exchange listed bitcoin in the world. The Ontario Security Commision (OSC) provides their support to make it happen.

Read more at (Reference:) https://cryptocrunchapp.com/news/canadian-fund-manager-to-list-bitcoin-fund-on-major-stock-exchange
Photo: https://i.postimg.cc/7YzdK8Zs/Crypto-Crunch-App-79.jpg

In this regard, adoption of Bitcoin will not be limited to cryptospace but will attract investors from stock market.

For me, if there will surely be more market adoption through this, the market volume of bitcoin will surely increase, as high demand for bitcoin will induce hodlers to sell in a higher price. Thus, making an assumption for my theory that Bitcoin Adoption is Proportional to Market Volume.

Should you have any views regarding this, please let me know and discuss in the comments below.

Topic: Bitcoin on Stock Exchange (Is Adoption Directly Proportional to Market Volume?) (Read 208 times)