Grayscale Investments said its upcoming “mini” version of the Grayscale Bitcoin Trust (GBTC) exchange-traded fund (ETF) will be almost a tenth cheaper than current GBTC fees, making it the most cost-effective among options approved. Bitcoin ETF.
However, investors should not hope too much yet, according to Eric Balchunas, analyst at Bloomberg.
“This is pro forma financial data and therefore hypothetical,” Balchunas explained in an April 20 article on .
“The good news is they had to pick a number for this and knew people would be watching and they went with 15 basis points,” he wrote.
Grayscale has proposed that fees for its new Grayscale Bitcoin Mini Trust (BTC) be set at one-tenth of the current 1.5% fee for GBTC, according to a recent filing with the U.S. Securities and Exchange Commission (SEC). United.
With a suggested fee of 0.15%, it positions its ETF to have the lowest fees among the 11 approved spot Bitcoin ETFs introduced in January, closely followed by the trillion-dollar asset manager Franklin Templeton dollars at 0.19%.
Next are the Bitwise Bitcoin ETF (BITB) and the VanEck Bitcoin Trust (HODL), both at 0.20%.
Thomas Fahrer, CEO of crypto-focused review portal Apollo, told his 42,900 followers .
“Grayscale has lost 315,000 BTC in outflows since launch, and they needed to plug the leak,” he said.
Related: Bitcoin Halving Hype Interrupts Week-long ETF Outflow Streak
This comes as many investors have been withdrawing funds from the GBTC product since the launch of spot Bitcoin ETFs in January, which offer more competitive fees for Bitcoin exposure.
Since the introduction of spot Bitcoin ETFs on January 11, GBTC has seen approximately $16.73 billion in outflows, according to Farside data.
Cointelegraph recently announced that shares of the new Bitcoin trust are expected to be distributed to existing GBTC shareholders, as GBTC will also contribute an undisclosed amount of Bitcoin to the new trust.
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News Source : cointelegraph.com
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