- The world’s largest digital asset manager announces its intention to transfer investment crypto products to ETFs.
Grayscale, which began providing secure investments in digital assets already in 2013, is outlining plans to transform their crypto trusts.
As you know, Grayscale was the first company to launch a publicly traded-Bitcoin fund in the U.S and also the first and only one, which converted a Bitcoin fund into an SEC-reporting company.
It is this status that has made it one of the most trusted crypto investment companies, which is currently firmly convinced that it wants to convert every product into an ETF, the first of which will be the GBTC.
For a better understanding, the company graphically illustrated the life cycle of Grayscale products.
As you can see the first phase is a private placement in which there are currently only recently launched new altcoin trusts. In the second phase, and thus public quotation, there are 4 products and among them known names such as BCHG, LTCN, ETCG and GDLC.
However, as far as the penultimate phase is concerned, there are only two products and thus two SEC-reporting companies GBTC and ETHE.
The company informs in its blog that they are already cautious about the products in the last phase and will initially focus only on the GBTC, because it had already applied for the Bitcoin ETF in 2016, but finally withdrew its application. The reason for the withdrawal was the insufficient regulatory environment at the time, but the company believes that this time it will be successful, although still dependent on the regulatory environment.
If the company eventually managed to convert Bitcoin Trust into an ETF compared with global commodity exchange-traded products, this crypto product would be in second place with $ 34 billion in AUM. Before the GBTC, it would be only the Gold ETF, specifically the SPDR Gold Trust (Symbol: GLD).