Abra | Fractional Shares 📈

Join the waitlist (bumps me up the queue): http://www.abra.com/eq?kid=W7AQZ

Founder’s blog explains how this works:
https://www.abra.com/blog/abras-next-chapter/

Forbes article really comprehensive too:

Had no complaints using Abra to date (its a great cryptocurrency app) and I intend to use to this fractional share exposure feature as a stop gap up until real fractional shares are offered by Freetrade.

Sign up to the app:
Easily invest in 28 cryptocurrencies or BIT10, an index of the top cryptos. Use my link to sign up and get $25 in free bitcoin after your first Bank/Amex deposit, or 1.5% cash back when you exchange cryptos (T&C apply):

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I look forward to seeing this launch. Pegging credible cryptocurrencies to anything has been a major challenge so far so I’ll be impressed to see them pull this off.

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Cheers to those who used my link so far

Learn more about Abra here:
https://twitter.com/petermccormack/status/1095330967865061377?s=21

Spotify podcast link (fascinating listen):

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Found an interesting talk about this:

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Enjoyed that! Great coverage; nice round up in a shorter time frame than the podcast :studio_microphone:

There also this more detailed technical talk:

Can’t wait to get financial market exposure through Bitcoin since no discount broker is in a hurry to offer their services in Romania.

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Sounds like this truly is limitless exposure. They won’t even spy on you with KYC/AML. They also won’t be subject to PRIIPs regulations or Mifid.

Granted access yesterday :unlock:
https://youtu.be/b_hWwrfTcOM
Shares available:
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ETFs available:
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So long as you top up the app & withdraw via crypto. If a bank account is linked, then somewhere along the line AML/KYC is conducted if I remember correctly hearing/reading this somewhere.

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Little speculative update from my trial of the share feature. Exchanged 1.3 LTC for Google exposure on 01st May tried to catch Alphabet on the dip. Low and behold, not only is Google languishing but LTC has risen along with Bitcoin:

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I’ve just purchased fractions of the QQQ ETF without a KIID insight!

Is this legit as I’m a European retail investor?

Interested if anyone at Freetrade has a view on this? I know US ETFS were a big talking point a while back

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Just to be clear you haven’t purchased real shares but essentially ‘synthetic exposure’ and yes, it’s legit as far as I’m aware. I suggest to read the blogs and listen to Founder of Abra’s podcasts, etc. Bitcoin is programmable money and they’re leveraging its technology to enable this.

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That’s gone be nice for Romania too! :slight_smile:

You have not purchased a fraction of an ETF. If you had, it would not be legit as you note.

Whether it is legit to market something as ‘investing in ETFs’, when in fact it is something else, that’s another question.

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Slack direct listing :boom::

Money 3.0 podcast launched :headphones:

Abra reddit AMA recently is interesting too

This is completely meaningless as a statement. What does that even mean? This is all marketing speak. And mind you, I’m a computer scientist.

Also, if these are synthetic contracts of some sort, isn’t the whole product way more risky? When you buy a stock, you at least hold actual contractual ownership of a part of a company, which makes it worth it because you are also contractually owning part of its future cash flows.

On any synthetic, like CFDs or these, this is no longer the case. And also, to my understanding, you have also magnified risk much more by taking extra counter party risk.

Am I wrong?

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It’s like the term “Fintech” - a fusion of traditional finance and technology. In this case, Programmable Money (hence Money 3.0) is a fusion of traditional money and utilising the smart contracts of Bitcoin plus it’s blockchain tech (my interpretation but you can hear from Bill yourself via his podcasts) that makes Abra possible. If this is meaninglessness to you, as it will be if you don’t DYOR, so be it.

And mind you, this is “meaningless”.

With smart contracts, this is the case. There’s plenty material posted in this thread for you to find answers to your insightful questions.

You may or may not be (see Abra’s hedged model). What I will say is that this space and asset class isn’t for everyone. It’s very nascent but I just find it very interesting, hence why my summer read is “Blockchain Revolution”.

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I’ve been following Abra for a while now and I really love what they are doing with the technology and making crypto almost seamlessly blend in with fiat. And the idea of synthetic assets while yes possibly risky can fundamentally change the game. You essentially don’t require KYC until you deposit fiat or are looking to withdraw so if in this case I can effectively bypass all the various FX and legal requirements for investing in other jurisdictions then convert it back into crypto or my own currency denomination of choice. It is truly something that brings crypto to the masses. Love the boldness of the idea.

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