Grayscale Launches Low-Fee Mini Trust—What You Need to Know
The post Grayscale Launches Low-Fee Mini Trust—What You Need to Know appeared on BitcoinEthereumNews.com.
The investment world witnessed a significant milestone today with the launch of the Grayscale Bitcoin Mini Trust (Ticker: BTC) on NYSE Arca. At 4:00 AM ET, the trust began its journey as a spot Bitcoin Exchange-Traded Product (ETP), marking a new era for cryptocurrency investments. Managed by Grayscale Investments, the world’s preeminent crypto asset manager known for its broad array of investment products, the Bitcoin Mini Trust aims to offer investors refined exposure to Bitcoin through an innovative structure that differs fundamentally from traditional mutual funds and ETFs. Grayscale’s Bitcoin Mini Trust does not fall under the Investment Company Act of 1940, which governs most mutual funds and ETFs, offering a unique investment vehicle outside of conventional regulatory frameworks. This freedom allows for potentially higher risk and reward, reflecting the inherent volatility and growth potential of the crypto market. Potential investors are advised of the significant risk, including the possible loss of principal, highlighting the need for due diligence and possibly, consultation with a financial advisor. Grayscale is excited to announce the launch of Grayscale Bitcoin Mini Trust, ticker: $BTC. BTC comes to market as a spin-off of our flagship fund $GBTC, and at the ultra-low cost of 0.15%. pic.twitter.com/nOrdAPCKTj — Grayscale (@Grayscale) July 31, 2024 Investment Innovation and Strategic Vision Grayscale’s strategic launch of BTC represents not just an expansion of its product offerings but also a continuation of its pioneering ethos. BTC launched as the market’s lowest fee spot Bitcoin ETP, distributing 10% of GBTC’s underlying Bitcoin directly to BTC shareholders. This distribution mechanism, described as a “spin-off,” began with BTC’s Net Asset Value per share at $5.84, attracting a diversified investor base and managing assets totaling $1.7 billion as of its launch date. Notably, this event has been structured to avoid being a taxable action for both…
Filed under: News - @ August 1, 2024 9:10 am