Grayscale’s BCH, LTC Trusts Now Available
- Both trusts’ shares, available under the BCHG and LTCN tickers, became available for public trading after receiving DTC eligibility.
- Unlike Grayscale’s BTC trust, the BCH and LTC trusts are not registered with the Securities and Exchange Commission.
Grayscale Investments founder and CEO Barry Silbert. CoinDesk
The asset manager behind the largest Bitcoin trust, Grayscale Investments, can now offer its Bitcoin Cash Trust and Litecoin Trust on over-the-counter markets, the firm said in a press release on 17 August.
According to the announcement, both trusts became available for trading over-the-counter (OTC) markets after clearing the bar for deposits at the Depository Trust Company (DTC), one of the largest securities depository in the world. The shares from the BCH and LTC trusts will be available on OTC markets under the BCHG and LTCN tickers respectively.
The firm also revealed that as of 31 July, accredited investors already held 6,028,000 BCHG shares and 2,500,800 LTCN shares through private placement deals, which can now be traded publicly, as long as their institutional buyers have met the one-year hold period. Unlike Grayscale’s Bitcoin Trust (GBTC), the BCH and LTC trusts are not registered with the Securities and Exchange Commission (SEC), and as such will not be subject of the disclosure requirements mandated by U.S. securities laws.
Earlier this month, Grayscale reported to the U.S. SEC that its Bitcoin Trust had almost doubled in value in the first two quarters of 2020, having went from a $1.87 billion dollar value at the end of 2019, to $3.5 billion by the end of Q2 2020. The filing also revealed that the trust saw a surge in investor interest after March, as it issued almost 90% more shares in the second quarter of 2020 compared to the first.
- Grayscale’s 15’th crypto investment product will provide investors with access to DeFi protocols such as Uniswap and Aave.
- Grayscale said it will try to have shares of the new product quoted on a secondary market, but there were no guarantees.
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- After failing to get approval for a Bitcoin ETF, Bitwise decided to publicly list its own cryptocurrency fund, under the ticker BITW.
- The new fund will will track the Bitwise 10 Large Cap Crypto Index, a market-cap-weighted index of the ten largest cryptocurrencies.
- The dollar value of Grayscale’s BTC trust has increased from $1.87 billion at the end of 2019, to $3.5 billion at the end of Q2 2020.
- Being the first cryptocurrency investment vehicle to be registered with the SEC, Grayscale is required to file annual reports with the regulator.