Leading crypto asset manager Grayscale Investments has made a new attempt to launch a spot bitcoin exchange-traded fund (ETF).
According to an announcement today, Grayscale submitted an S-3 form registration statement with the U.S. SEC to list the shares of its Bitcoin Trust (GBTC) on the New York Stock Exchange (NYSE) Arca.
It bears mentioning that the move is part of Grayscale’s efforts to convert GBTC into a spot Bitcoin exchange-traded fund. Notably, the crypto asset manager pointed out that it will be able to convert GBTC to a spot Bitcoin fund after NYSE Arca’s 19b-4 application has been approved. The company also added that the SEC must declare the S-3 form effective.
Per Grayscale, issuers looking to offer equity securities under the 1934 Securities Act usually file applications on S-1 form. However, Grayscale pointed out that GBTC is eligible to use Form S-3 because its shares have already been registered under the Securities Act of 1934.
“Importantly, GBTC is ready to operate as an ETF upon receipt of these regulatory approvals and on behalf of GBTC’s investors,” the company said. “Grayscale looks forward to working collaboratively and expeditiously with the SEC on these matters.”
Grayscale’s Efforts to Launch a Spot Bitcoin ETF
Grayscale has been making significant efforts to convert its GBTC into a spot Bitcoin fund. However, all efforts have not yielded positive results due to the SEC’s continuous denial of the company’s applications.
Consequently, Grayscale filed a lawsuit against the SEC last year. The move was to legally compel the regulator to give a favorable decision that could lead to the launch of a spot Bitcoin ETF.
As reported earlier, Grayscale won the case in August. Hence, the U.S. Court of Appeals for the District of Columbia Circuit ordered the SEC to reconsider its decision. Last week, the SEC signaled that it would not appeal the court’s ruling, prompting Grayscale to file a new application to convert GBTC.
Grayscale Aims to Convert Its Investment Products into ETFs
It is worth mentioning that GBTC is one of the largest BTC investment products globally, with a holding of $17,579,978,186 ($17.57 billion). The GBTC is one out of the 17 funds Grayscale offers.
Interestingly, the company is aiming to convert all 17 investment products into exchange-traded funds. Grayscale has already applied to convert its Bitcoin Trust into a spot Bitcoin ETF.
Earlier this month, the company collaborated with NYSE Arca to convert its Ethereum Trust (ETHE), the largest ethereum investment product globally, into a spot fund.
Quest to Launch Spot Bitcoin ETF Intensifies
Meanwhile, the quest to launch a spot bitcoin ETF in the U.S. has gained momentum, with top financial institutions, like BlackRock and Fidelity Investments, joining the race.
Following the involvement of BlackRock and other prominent financial institutions, top crypto stakeholders, including Michael Novogratz, opine that the SEC is under pressure to approve a spot Bitcoin ETF.
Earlier today, top market analyst Scott Melker speculated that the SEC’s language and tone regarding the launch of spot Bitcoin ETF has changed to approval.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
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