RE: FUTURES ARE ANTI-BITCOIN OR HOW BITCOIN BECAME FIAT
This really isn't accurate at all. Gold is a physical commodity, with a very high barrier of entry for anybody to mine it. Those that mine it control the physical supply, that, and demand, is the only thing that affects the price.
And we don't really know how much gold is out there. Its hidden in the ground.
We know how much Bitcoin is out there, we know how much there will be, and we know when they'll be introduced into the ecosystem. This cannot be said of gold.
Futures does not change the supply or demand, unless somebody holds the actual physical asset to buy or sell.
The only way central bankers can get their hands on Bitcoin is to buy it from someone that has some. This will push the price up on the open market.
Dumping their coin will bring the price back down, back to where we started more or less.
The point is that Futures are a tool to create an unlimited supply.
But they don't create any supply.
It's someone betting on the future price of bitcoin. Has nothing to do with the actual coin or the chain.
By selling futures, you are selling Bitcoin that doesn't exist and futures transactions set the price of the asset. Asset price is derived from futures contracts .
No. You are not selling Bitcoin because you don't own Bitcoin.
Supply and demand sets the price of the asset. Nothing else.