Updated: April 20, 2024 1:05 PM EDT
Grayscale’s latest financial filing revealed new details about its new fund, Bitcoin Mini Trust. The fund will be listed on NYSE Arca under the ticker symbol BTC and will charge a competitive fee of 0.15%.
The spinoff trust, first announced in March, allows Grayscale to donate some of the coins in Bitcoin’s oldest publicly traded product to a smaller trust that charges less fees without triggering a taxable event for existing holders. Provides a method. Shares will be automatically distributed to holders as of a record date that has not yet been disclosed.
According to its latest pro forma financial statement, Grayscale plans to contribute 63,620 bitcoins for the fund’s initial distribution, or 10% of the bitcoins GBTC held at the beginning of the year (worth about $4 billion at current prices). The two trusts trade independently and do not share exposure, according to preliminary filings.
Mini Trust’s 0.15% fee is the lowest net fee in the industry, slightly lower than Franklin Templeton’s EZBC, but fee waivers and other perks complicate the calculations. GBTC currently has a 1.5% fee, which is the highest among spot Bitcoin ETFs on the market.
If the trust were created today, its $4 billion in assets would make it the fourth-largest Bitcoin ETF by AUM, behind Fidelity’s FBTC and BlackRock’s IBIT, and the new leader when GBTC’s spending is taken into account.
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