asunciontimes on Nostr: ETF’s aren’t derivatives… and when shorted, no new units are created, it ...
ETF’s aren’t derivatives… and when shorted, no new units are created, it doesn’t work the same way as CFD’s, which do act the way described above. CDO’s caused a problem because nobody knew what the underlying individual debts were so they couldn’t be unwound quickly when a counterparty went bust, whereas an ETF with only one holding (ie BTC) is literally the most simple simple thing to unwind, and unlike a collection of different debts, is entirely fungible
Published at
2024-09-01 19:53:57Event JSON
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