JAN3 founder Samson Mow has said that companies that issue spot Bitcoin ETFs should provide on-chain addresses to prove their Bitcoin reserves.
The potential Bitcoin ETF has stirred up a lot of excitement within the crypto community. From those who expect the price of the token to go up to those waiting on bated breath for a decision from the SEC, everyone is invested. But while there is excitement in the air, JAN3 founder Samsom Mow has pointed out the need for transparency among Bitcoin ETF issuers if this momentum will be sustained.
Why Disclosure Might Be Needed
In an interview with Cointelegraph, Mow said that companies that issue spot Bitcoin EFTs should also share their on-chain addresses. The idea behind this is that by having these addresses made public, there is confirmation that the ETFs actually have the Bitcoin that they are offering for sale.
This, in turn, will build trust within the community and investors will rest assured that the companies actually have the assets they claim to. It is worth noting that even as there has been a lot of excitement about the potential of an ETF, there has also been some concern. More specifically, there is concern that some firms might be selling ‘unbanked’ ETFs.
The issue of crypto-related companies making claims regarding assets that they don’t have in their reserves is not new. Stablecoins like Tether have faced such accusations for years and at the height of the FTX saga, several companies were releasing their proof of reserves to counter these claims.
As a Bitcoin ETF is in sight, this has come up once again. Many companies are in a race to get approval and from all indications, none has indicated that they will provide their on-chain address. For some investors, this might not be an issue while others, like Mow, remain concerned.
Bitcoin Reaching $1 Million?
For the last few weeks, Bitcoin has been on a price spike and has even crossed the $45,000 mark. There have been many predictions about Bitcoin reaching a new all-time price high and crossing $100,00. But Samson Mow has even more ambitious expectations for Bitcoin, predicting that it will get to $1 million.
In a recent tweet, he said:
“$1M #BITCOIN ISN’T THAT MUCH GIVEN ALL THE MONETARY MONKEY BUSINESS GOING ON FOR THE LAST FEW DECADES.”
His belief is that given the things that have happened behind the scenes in the mainstream financial world over the years, this is not so far-fetched. Interestingly, one of the things noted in the Bitcoin Genesis block is the financial crisis of 2008 where governments bailed out large banks that were on the brink of collapse. Several central banks have stepped in when fiat currencies were on the brink of ruin and while Bitcoin reaching $100,000 is still no small deal, stranger things have happened.