After much speculation and breathless anticipation (as well as a court battle), the SEC has at long last approved Grayscale converting its Grayscale Bitcoin Trust into an ETF. The Grayscale Bitcoin Trust ETF (NYSE Arca: GBTC) now operates as a spot bitcoin ETF that trades on the New York Stock Exchange.
Touted as “the world’s largest Bitcoin ETF” (in terms of AUM), GBTC gives investors exposure to bitcoin without needing to set up an account or wallet on a cryptocurrency exchange. GBTC offers access to the cryptocurrency through a regulated investment product.
GBTC is now among the first such products to be brought to market in the U.S.
See more: “Setting Odds on the GBTC Lawsuit”
Historic Outcome and Significant Milestone
Grayscale launched the Grayscale Bitcoin Trust in 2013, making it the first bitcoin fund of its kind. As of December 29, GBTC had $26 billion in assets and held more than 3% of the total bitcoin supply.
“The ETF listing of GBTC is a significant milestone,” said VettaFi’s Head of Research Todd Rosenbluth. “The now-ETF already has a sizable asset base and build in liquidity that many investors will find appealing. Grayscale is a leader in the crypto community.”
Grayscale CEO Michael Sonnenshein called “the approval of spot bitcoin ETFs in the United States” a “historic outcome.” He called it “a monumental step forward for GBTC investors and all those who realize the potential for crypto to transform our future.”
Once shares of GBTC trade on NYSE Arca, they ceased trading on the OTC Markets. Current GBTC shareholders do not have to take any action prior to GBTC’s uplisting to NYSE Arca.
GBTC is one of the 11 spot bitcoin ETFs the SEC approved that begin trading today.
Following the SEC’s approval of the new bitcoin ETFs, OTC Markets Group applauded “GBTC’s move to NYSE as a spot Bitcoin ETF.” The Group called it “a pivotal moment for Grayscale and for regulatory support in the digital assets industry.”
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