Bitcoin halving has taken place, and cryptocurrency investors have not yet experienced the rapid declines they feared. The largest spot Bitcoin ETF issuer, Grayscale, is making a new move. Bloomberg ETF analyst Eric has noted this move, which could be a good alternative for investors. Here are the details.
GBTC Mini Version Coming Soon
Grayscale Investments announced that a mini version of the Grayscale Bitcoin Trust (GBTC) exchange-traded fund will soon be launched. The new fund will allow investments at much more attractive rates than the current GBTC transaction fees. In fact, Grayscale also announced that it will have the lowest transaction fee among all spot Bitcoin ETFs.
Bloomberg ETF analyst Eric Balchunas recently wrote on his social media account:
“These are pro-forma financials and therefore hypothetical.”
This means that investors should not set their expectations based on details that are still subject to revision on paper.
“The good thing is that they needed to set a transaction fee. They decided on 15bps, which is attractive.”
Application documents submitted to the United States Securities and Exchange Commission state that the transaction fee for the Grayscale Bitcoin Mini Trust (BTC) has been set at 0.15%. For GBTC, these fees are 1.5%.
Will Cryptocurrencies Rise?
The loss of interest in the ETF channel was related to bankruptcies, macroeconomics, and regional tensions. However, we are seeing these issues gradually being resolved. On April 19, ETFs saw net inflows again. The latest step by GBTC can also be considered positive for the demand in the ETF channel.
Apollo’s CEO Thomas Fahrer recently stated on his social media account that Grayscale needs to balance the large outflows from GBTC by offering a “cheap” alternative.
“Since the launch of Grayscale, it has lost 315,000 BTC in outflows and needs to close the gap.”
Since the launch date on January 11, GBTC investors have made net sales of $16.73 billion. However, despite this, all spot Bitcoin ETFs have seen over $12 billion in net inflows. This means that a significant portion of investors did not completely abandon BTC with the sale of GBTC. If the expected rapid rise period begins in the coming months, the FOMO in the ETF channel could yield impressive results.
