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Retail vs Institutional Trading in Bitcoin: Misconceptions and Realities
This chapter explores the differences between retail traders and institutional investors in the realm of Bitcoin trading, shedding light on the challenges faced by individual traders in a market dominated by large institutions. It discusses the impact of institutional involvement on Bitcoin's scarcity, emphasizing the decentralized nature of the cryptocurrency that prevents institutions from unilaterally altering its core principles. The conversation also delves into the complexities of monetizing Bitcoin, including taxation issues, borrowing risks, and contrasting it with traditional ETF structures in finance.