Browsing Interactive Brokers’ website I came across something very cool, the possibility of buying bitcoin through bitcoin ETF.
At interactive brokers you have access to buy a lot of crude, oil, gold, silver and now, bitcoin.
What is the advantage of this?
Well you will be able to follow an index that buys bitcoin and that will vary along with the price of bitcoin, so you can go slowly buying to keep in the wallet and follow the price of bitcoin in the long run or you can do trade yourself. It’s a synthetic ETF.
Another advantage is that you will not need to register with a bitcoin brokerage, have another login and password and it is more difficult to be stolen, you do not need to have a wallet or decorate and write down keys and codes in papers. Your asset will be your position in the ETF guarded on Interactive Brokers as if it were a normal ETF. If they steal their bitcoins, their problem. Your asset will be in IB and not there with them, of course as it is a very lucrative business they should protect well.
You will not have the bitcoin itself in your hand to transfer it to someone else or use it to make payments, so it’s a kind of indirect investment and you will not be immune from the attacks of the state gang, either, against some kind of block Of your property or confiscation because this ETF even being in an American brokerage firm can be conspired from you if you file a lawsuit (although I think it is more difficult in the US).
Another downside, RATE! Rate 2.5% per year! I consider a high rate but depending on your volume and the variation of bitcoin can be very worthwhile, this you will have to decide, and will also depend on the position of bitcoin in your portfolio, for example, if you intend to have 5% of the Your portfolio in Bitcoin this rate will generate a small cost, but if you want to have 20% of your equity in bitcoin there the value of the rate will weigh heavily. REMEMBER that you will only pay this fee to have the bitcoin, will not pay loading fee as in other brokerages, nor spread, nor anything, this is the only fee you pay.
See this page:
There is the code:
BITCOINXB – This is sold in Swedish kronor or euro. You can exchange your dollars for Swedish kronor or euro within the forex tab at the home broker of Interactive Brokers, it’s a simple process.
ISIN code: SE0007126024
Information about this type of asset you can find here: http://xbtprovider.com/
How does this XBT provider calculate this bitcoin price?
(Actually, the value of the ETF quota there corresponds to 5% of a bitcoin)
Well, from what I read here this XBT is a Swedish company, it tends to be less corrupt and more reliable than a Brazilian. See that the product is listed on the Swedish stock exchange, which was bought and incorporated by the American NASDAQ, so they must have been very strict, at least I can see a stock market as a more serious and reliable institution than a bank and Nasdaq is wanting to Grow in Europe.
Another option is the fund offered by Grayscale at the OTC Market-based in NY.
The OTC market is a US non-NYSE, a financial market that sells financial assets of more than 10,000 companies.
This is an option for you that has an account with an American brokerage other than Interactive Brokers.
Https://grayscale.co/ It is the site where you will find the GBTC background you can check here:
Https://www.otcmarkets.com/stock/GBTC/quote the price of a GBTC is equivalent to 10% of the price of bitcoin in dollars, and its administration fee is 2% per year, cheaper therefore Swedish.
The GBTC you find easy and can register in your portfolio of Google Finance.
See if your broker offers access to the OTC market, I have not yet tested whether Interactive Brokers offers more but I suspect it is 20% cheaper than the Swedish company’s rate, but the asset will be based in the USA and obey laws From US to NRA like you who are Brazilian and want to invest there, which includes the 40% income tax in case of your death.
I’ll look into the income tax rate in case of NRA’s death with assets in Sweden and then I’ll tell you here.
This same company has another Trust for Ethereum which is basically the same thing as the bitcoin background, changing only the currency they are buying.
I had never been in Bitcoin, but I thought a lot and I think I’m going to get in, with my feet on the ground, I think it’s a mistake to stay out of this asset.
Big hug to all!