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This could be the year that cryptocurrency investing finally goes mainstream. And that’s due to one simple reason: some of the biggest institutions on Wall Street have finally decided that offering a quick, low-cost, and convenient way to invest in Bitcoin is a good idea.
Instead of having to buy Bitcoin on a cryptocurrency exchange, you now can buy Bitcoin via one of the nearly dozen new Bitcoin exchange-traded funds (ETFs) that have been approved by the SEC. Investors who have previously used ETFs to invest in, say, the S&P 500, now have a similar way to invest in Bitcoin.
Crypto’s impact on social media advertising
It might sound strange at first, but this new focus on digital currency investing is likely going to have an impact on your social media feeds. For one, your friends and followers will likely be talking about Bitcoin. These new ETFs will make it so easy to invest in Bitcoin that even the least tech-savvy of your family members will be able to do it. And, if the price of Bitcoin goes up like everyone is expecting it to, then they’ll probably be sharing their Bitcoin investing wins via social media.
But there’s a secondary impact that not too many people are talking about, and that’s the impact that it will have on digital advertising. Remember when there were ads for Crypto.com, FTX, and Coinbase seemingly everywhere just two years ago? And when there were even splashy crypto ads running during the Super Bowl? Well, get ready for the next big batch of crypto ads.
This time around, the ads won’t be coming from the big cryptocurrency exchanges, of course. And certainly not from FTX, whose former CEO (Sam Bankman-Fried) recently went on trial for criminal fraud. Instead, the ads will likely be coming from the likes of BlackRock and Fidelity, both of which have brand-new Bitcoin ETFs.
The role of social media influencers
Since there are nearly a dozen different Bitcoin ETF products out there, digital marketing will be key. Right now, it looks like the primary messaging will be around low fees. The idea is simple: attract as much investor money as quickly as possible by promising the lowest fees in the industry.
At some point, the big Wall Street firms might decide they need to work with social media influencers to explain some of the other advantages of a Bitcoin ETF. High up on the list will be the impossibly high returns that Bitcoin can offer. Influencers might be able to make the sort of “you can become a Bitcoin millionaire!” pitch that the big Wall Street firms might not want to be making directly.
Is it worth it?
The new Bitcoin ETFs are still too new to evaluate, but they have certainly helped kick the New Year off with a bang. Bitcoin was up more than 150% in 2023, and these new investment products promise a way to invest in Bitcoin that is easy and, best of all, safe. They come with the official seal of approval from the SEC.
The only problem, of course, is that, in order for this new financial product to make sense, the price of Bitcoin has to go up. The big moment of truth might come in this year’s Super Bowl, with ads convincing you to invest in Bitcoin. If you see a lot of crypto ads, you’ll know why.