Rabbithole with Dave Nadig

Excess Returns

Rabbithole: Where investment nerd Dave Nadig grabs one investing idea in his teeth and will not let it go until all the blood has been drained from the stone. Zero BS. No niceties. Just digging in to learn something from an actual expert in 30 minutes or less. Think of it as hot wings but for your brain. You're welcome.

Episodes

  1. 09/05/2025

    How Bitcoin ETFs Really Work with Teddy Fusaro

    In this episode of Rabbit Hole, Dave Nadig sits down with Teddy Fusaro, President of Bitwise Asset Management, to dive deep into the mechanics and implications of Bitcoin ETFs. They break down how creations and redemptions really work, the SEC’s role in shaping the market, custody and compliance issues, and what the future of tokenization may hold. If you’ve ever wondered how crypto and traditional finance connect at the ETF level, this conversation offers a rare inside look from one of the industry’s leaders. Topics Covered: Evolution of ETFs and lessons for crypto ETFs How Bitcoin ETF creations and redemptions actually work The SEC’s restrictions and why cash creations dominated early on Transition to in-kind creations and their efficiency benefits Concerns around custody, AML/KYC, and “bad” Bitcoin Transparency of the blockchain and proof of reserves Custody risk, Coinbase’s role, and future diversification Common myths: paper Bitcoin, tax advantages, and wash sales Why large holders are moving into ETFs (estate planning, collateral, convenience) How this paves the way for multi-asset crypto ETFs The bold future: tokenized ETFs and on-chain finance Timestamps: 00:00 – Bitcoin ETFs and echoes of past ETF debates 01:19 – Introduction of Teddy Fusaro, President of Bitwise 02:59 – ETFs as “weapons of financial mass destruction” concerns 04:12 – SEC’s stance on in-kind creations and custody rules 07:00 – How cash creations work in practice 10:59 – Benchmark pricing and execution in Bitcoin markets 14:28 – Transition to in-kind creations and cost savings 20:05 – AML/KYC concerns and custody protections 23:11 – Transparency of blockchain and proof of reserves 26:50 – Coinbase custody and single-custodian risk 31:00 – SAB 121 and the rise of traditional custodians in crypto 32:08 – Myths about tax advantages and wash trading 35:12 – Why big Bitcoin holders are moving into ETFs 37:47 – Implications for multi-coin ETFs 39:00 – Future of tokenization and on-chain ETFs 40:33 – Closing thoughts and where to follow Teddy

    41 min
5
out of 5
5 Ratings

About

Rabbithole: Where investment nerd Dave Nadig grabs one investing idea in his teeth and will not let it go until all the blood has been drained from the stone. Zero BS. No niceties. Just digging in to learn something from an actual expert in 30 minutes or less. Think of it as hot wings but for your brain. You're welcome.