Winklevoss twins want to create an ETP for Bitcoin

BitcoinWinklevoss twins who claim that Zuckerberg stole the idea for Facebook from them, plan to create an Exchange Traded Product (ETF) for Bitcoin.

Bitcoin is a virtual currency created in 2009, where users act as “miners”, while generating more coins using the processing power of computers. It is now accepted as payment by a small number of companies, but their number increases as Bitcoin is gaining popularity.

Cameron and Tyler Winklevoss, the twins whose story has become the subject of the movie “The Social Network” already filed the necessary documents for the listing of Bitcoin, hoping that the virtual currency will attract new buyers.

Winklevoss twins founded the Math-Based Asset Services LLC which will manage Bitcoin portfolio and will present shareholders the changing price of virtual currency. No financial details were given yet and there is still no guarantee that an exchange will accept Bitcoin listing. The twins have hired the law firm Katten Muchin Rosenman, a company involved in similar exchange products that track gold and silver.

“Preparing the registration statement required significant time and financial commitment. We retained a law firm that has launched innovative products before; this is not their first rodeo,” Said Cameron Winklevoss.

Startups which use Bitcoin attract real capital as the entrepreneurs find an opportunity to create business around a non-governmental currency outside the traditional banking system that will be able to be a new way of payment.

Winklevoss twins have acquired a Bitcoin capital worth $8 million (present value) and believe that the virtual currency will increase its value because there is a finite number of Bitcoins that can be generated.

The brothers were the main speakers at the annual conference of Bitcoin, the two predicting that the currency will follow the course of a quote by Mahatma Gandhi: “First they ignore you, then they ridicule you, then they fight you, and then you win”.

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