Grayscale Investments LLC and the New York Stock Exchange applied to the SEC to convert the world’s biggest Bitcoin fund into an ETF, according to a report by Bloomberg on Tuesday.
- The application to convert the $40 billion Grayscale Bitcoin Trust (ticker GBTC) came the same day that ProShares Bitcoin Strategy ETF (BITO), started the first exchange-traded fund in the U.S. investing in the futures on the digital asset.
- Even though the SEC has allowed the derivatives-based product to launch, it is yet to approve the kind of structure used by Grayscale that directly holds the largest cryptocurrency.
- Grayscale’s filing for approval opens a window for the SEC to reject or put a hold on the GBTC conversion application.
- Michael Sonnenshein, the asset manager’s chief executive officer stated that the firm is “100% committed” to turning GBTC into an ETF upon U.S. regulators’ approval.
Grayscale employed a global ETF leader in August to advance those efforts. With the launch of BITO, approval of physical Bitcoin ETF is likely to happen in a matter of time. BTC USD up +0.74%.