What is the impact of Bitcoin ETF launches on its value perception?

You can think of a Bitcoin ETF as a "Bitcoin-themed stock."

Before its advent, buying Bitcoin was a bit cumbersome. You had to register on specialized cryptocurrency exchanges, figure out how to use digital wallets, and worry about risks like private key security and exchange collapses. It was like wanting to invest in gold but only being able to buy gold bars from a small jeweler, then having to find a safe deposit box yourself. Many found the barrier to entry high and felt uneasy.

Now, with Bitcoin ETFs, the situation has completely changed.

Firstly, it has "legitimized" Bitcoin. ETFs are traded on regulated stock exchanges (like Nasdaq) and are supervised by financial regulatory bodies. This means that top-tier financial institutions on Wall Street, giants like BlackRock, have acknowledged Bitcoin as a worthwhile investment asset. It's like those gold bars from the small jeweler are now standardized gold ingots, held in bank vaults by national-level major banks, completely transforming their credibility. Bitcoin has moved from a somewhat "niche" circle directly onto the "main stage."

Secondly, the investment threshold has been significantly lowered. Now, you don't need to delve into complex crypto wallets. You just need a regular stock brokerage account, open your trading app, and buy Bitcoin ETFs by searching for their ticker symbols, just like buying stocks of Apple or Kweichow Moutai. This means that ordinary individuals, pension funds, and large corporations who previously wanted to invest but found it too troublesome or intimidating can now easily allocate their capital.

Therefore, the biggest impact of the Bitcoin ETF launch on its perceived value is:

It transformed Bitcoin from an exclusive toy for "tech geeks" into "digital gold" that is acceptable and allocable by the general public and mainstream financial institutions.

This shift in perception has brought more attention and larger capital inflows, naturally profoundly impacting its market value.