Grayscale Investments Set to File for Bitcoin Spot ETF as Competition Heats Up

Grayscale Investments, known for its Grayscale Bitcoin Trust (GBTC), is planning on filing an application to convert its flagship fund into a spot ETF early next week. Grayscale, which has been the dominant player in the digital asset space, is now looking to revamp its fund due to competition. First Bitcoin Futures ETF Set to Trade Early Next Week, Adding More Competition for Grayscale Last Friday, the Securities and Exchange Commission (SEC) approved the first ever Bitcoin futures ETF, which is set to trade on the New York Stock Exchange early next week. The move has been hailed as a “watershed moment” by many, where Bitcoin is finally solidifying its legitimacy as an asset class to Wall Street and mainstream investors. Related Reading | Bitcoin ETF Receives Approval from SEC, Marking Historic Day for Crypto The ETF, managed by investment firm ProShares, will feature a low management fee of 0.95%, compared to Grayscale’s 2%. Another benefit that the new ETF provides is the lack of redemption periods – something that has plagued GBTC’s investors since its very inception. Why Grayscale’s Potential Spot Bitcoin ETF May Outperform Futures ETFs The Bitcoin-futures ETF is a step in the right direction in making cryptocurrencies more accessible for the everyday investor; however, many crypto investors have argued that the ETF’s utilization of derivative contracts, which are traded on the Chicago Mercantile Ex...