The digital asset management company is ready to submit an application to the US Securities and Exchange Commission after the regulator defines the cryptocurrency market
Jennifer Rosenthal, director of public affairs at Grayscale Investments, confirmed on Twitter the company's position on converting the Grayscale Bitcoin Trust and other crypto funds into ETFs. According to Rosenthal, the company will be ready to submit an application to the US Securities and Exchange Commission (SEC) after the regulator gives a clear and formal definition of the cryptocurrency market.
Rosenthal also commented on the launch of the first US Bitcoin ETF from ProShares, which will begin trading on the New York Stock Exchange (NYSE) on October 19. Rosenthal called this event historic and important not only for bitcoin, but for the entire cryptocurrency industry.
In early August, Grayscale Investments hired former head of index provider Alerian David LaValle, who took over as head of ETF funds, to work on converting the Grayscale Bitcoin Trust and the company's other funds to ETFs. Grayscale also announced plans to hire a dozen more specialists to work on the ETF.
In April, Grayscale Investments CEO Michael Sonnenschein announced plans to convert Grayscale crypto funds to ETFs. After the conversion, the Grayscale Bitcoin Trust will become the third largest commodity ETF, he said.
The Grayscale Bitcoin Trust functions similarly to an ETF in that it is secured and priced at Bitcoin. It is not registered with the SEC, so only accredited investors have access to it.
Grayscale Investments is a digital asset management company that allows accredited US investors to purchase cryptocurrency investment products in a regulated environment through traditional marketplace instruments.