Community Notes debunks spot bitcoin ETF rehypothecation
A licensed attorney in Florida posted a viral tweet claiming that Coinbase’s rehypothecation was to blame for bitcoin failing to rally. Sasha Hodder of Florida Coastal School of Law — a school known less for its quality and more for closing entirely — claimed that CEO Brian Armstrong was to blame for bitcoin’s sideways (‘crabbish’) price action since spot bitcoin ETFs listed on US exchanges. According to her theory, which gained over 780,000 impressions as of publication time, “Coinbase is somehow rehypothicating [sic] its prime lending customers’ bitcoin to fund bitcoin ETFs.” Apparently, passing the Florida bar does not guarantee that an attorney knows how to spell rehypothecating — nor does it guarantee they know how capital markets work. Without evidence, this is nonsense. — Timbo (@TimboNotes) June 10, 2024 Read more: ECB bitcoin report triggers Crypto Twitter, catches community note The post quickly gained a Community Note, a feature of ...