PLAN B BETRAYED BITCOIN?!
The Self-Custody Preacher Just Chose Wall Street—Here’s Why
Who is PlanB?
PlanB is the pseudonymous Dutch analyst who gained prominence in the cryptocurrency community for creating the Stock-to-Flow (S2F) model, a forecasting tool that predicts Bitcoin's future value based on its scarcity. By profession, he is an institutional investor with over 25 years of experience in financial markets.
PlanB introduced the S2F model in March 2019, drawing parallels between Bitcoin and precious metals like gold and silver, which are also considered store-of-value assets due to their limited supply. His model has been both influential and controversial, sparking extensive debates about its accuracy and applicability.
Why Am I Writing This?
Because the unthinkable just happened. PlanB—the guy who made Bitcoin's Stock-to-Flow model famous, the same dude who preached “Not your keys, not your coins”—just moved his Bitcoin into an ETF.
Yep. The guy who spent years telling everyone to ditch traditional finance just cozied up to it. It’s like a vegan buying stock in McDonald’s.
Here’s what he posted on X:
"Disclosure ⚠️ I have transferred my bitcoin to ETFs. Yes, I know, not your keys, not your coins. But it is just easier for me to manage bitcoin the same way as my stocks and bonds. And I sleep better without the private keys. Guess I am no longer a bitcoin believer." (Source)
Translation: Dutch taxes made me do it.
So, is PlanB selling out, or is he just playing 4D chess with the tax system? And more importantly, should YOU trust Bitcoin ETFs—or is it all just a fancy Wall Street scam?
Let’s dive into it.
Bitcoin ETFs vs. Self-Custody: Do You Want to Own the Lambo or Just Rent It?
Bitcoin ETFs are like renting a Lamborghini for Instagram—you get the clout, but it’s not really yours.
Self-custody Bitcoin is actually owning the Lambo, meaning you have full control, but you’re also responsible if you crash it or lose the keys.
Let’s break down both sides.
Bitcoin ETFs: The Good, The Bad, and The Counterparty Risk
Why Some People Love Bitcoin ETFs
Stupidly Easy – Just buy the ETF like a stock. No wallets, no security headaches.
Big Money Loves It – Wall Street’s in, meaning more liquidity, less volatility.
No “Oops, I Lost My Keys” Stories – No need to worry about seed phrases or getting hacked.
Tax Advantages (In Some Countries) – PlanB’s move shows ETFs can reduce tax burdens.
Retirement-Friendly – You can throw Bitcoin ETFs into a 401(k) or pension fund.
Real-World Example: Bitcoin ETFs Taking Over
The Wisconsin pension fund just doubled down on Bitcoin ETFs.
Tudor Investment Corp dropped $426.9 million into Bitcoin ETFs.
Abu Dhabi’s sovereign wealth fund is holding 8.2 million ETF shares.
Hedge funds everywhere are piling in.
Wall Street’s not just dipping a toe—they’re jumping in headfirst.
Why Bitcoin ETFs Are a Bad Idea
You Own a Bitcoin Receipt, Not Bitcoin – If you can’t send it, spend it, or store it yourself, do you really own it?
Counterparty Risk – Your ETF shares are just numbers on a brokerage account. If the ETF fails, good luck getting your Bitcoin.
Government Can Lock It Down – If regulators come knocking, ETF holders get frozen first.
Management Fees – Every year, ETF providers take a cut of your Bitcoin.
No Access to the Real Bitcoin Features – Want to use Lightning Network or DeFi? Too bad.
Self-Custody Bitcoin: The Ultimate Power Move or a Disaster Waiting to Happen?
Why Hardcore Bitcoiners Swear By It
You Actually Own Bitcoin – No banks, no middlemen, no permission needed.
Censorship-Resistant – No one can freeze your funds or stop transactions.
No Hidden Fees – Once you buy Bitcoin, it’s yours forever (if you don’t lose it).
Total Privacy – No KYC, no brokerage accounts, no tracking.
Access to All Bitcoin Tech – Lightning Network, multisig wallets, DeFi—the full package.
Real-World Example: Self-Custody Pays Off
Meet Brandon Frenchak, a Bitcoin trader who turned a small investment into a 482% gain by using a Health Savings Account (HSA).
Most people use HSAs for medical bills—he used his as a tax-free Bitcoin play.
Instead of ETFs, he self-custodied Bitcoin and rode the bull run to huge profits.
The lesson? If you actually understand Bitcoin, self-custody can be life-changing.
The Dark Side of Self-Custody
Lose Your Keys, Lose Your Coins – No customer support if you mess up.
Security Is a Headache – Hackers, phishing, SIM swaps—welcome to paranoia.
Hard to Pass Down – Want to leave Bitcoin for your kids? Better have a bulletproof inheritance plan.
Final Verdict: ETFs vs. Self-Custody—Which One Wins?
My Take? Self-custody is the firewall of freedom.
Bitcoin was created as a decentralized escape from traditional finance, and ETFs are just a backdoor for banks, hedge funds, and regulators to take control.
ETFs turn Bitcoin into just another Wall Street asset, stripping it of the core principles that make it revolutionary: self-sovereignty, permissionless access, and censorship resistance.
Yes, ETFs bring in big money, but they also bring big surveillance, big fees, and big risks of government control. The moment we trade convenience for custody, we lose Bitcoin’s greatest weapon: financial independence from the system.
If you’re in Bitcoin for number-go-up, maybe ETFs make sense.
If you’re in Bitcoin for financial freedom, then hold your own damn keys.
Sources
- PlanB’s Tweet – twitter.com
- Stock-to-Flow Model Explained – bitcoinmagazinepro.com
- Wisconsin Pension Fund Bitcoin ETF Investment – coindesk.com
- Tudor Investment’s Bitcoin ETF Holdings – bitcoinist.com
- Abu Dhabi’s Bitcoin ETF Investment – cryptoslate.com
- Brandon Frenchak’s Self-Custody Bitcoin Gains – decrypt.com