Arthur Hayes has raised concerns that the success of Bitcoin exchange-traded funds (ETFs) managed by traditional finance (TradFi) asset managers could lead to the cryptocurrency’s downfall. In a new blog post, Hayes argued that if Bitcoin becomes a state-controlled financial asset, it will lose its purpose as it is not used for its intended function. He also criticized TradFi asset managers for their confusion and laziness in purchasing Bitcoin ETF derivatives instead of buying and holding Bitcoin in self-custodial wallets. Hayes’ warning serves as a reminder of the potential risks and consequences of traditional finance’s involvement in the cryptocurrency market.