Digital currency investment fund, Grayscale Investments LLC holds the world’s largest amount of Bitcoin. Located in New York, by anonymous creator Satoshi Nakamoto. Greyscale created the Grayscale Bitcoin Trust in 2013 and has since grown substantially. In January 2020 the investment company became an SEC reporting company.
For years Bitcoin enthusiasts have hoped to see a Bitcoin ETF which would make Bitcoin available on the NYSE. After years of failed attempts, the first Bitcoin ETF has been approved by the SEC. This is a historic landmark for those who hold crypto assets.
Grayscale Investments has reportedly begun the steps to convert their massive holdings from a trust into the new Bitcoin ETF. The amount of $40bn worth of Bitcoin could convert to the new ETF as the application is said to be submitted early next week, which would need to go through a 75-day application review before this happens officially.
This new Bitcoin ETF opens the doors to retail investors who are skeptical of using cryptocurrency exchanges or holding a cryptocurrency wallet. This new investment opportunity is now open to millions who do not need any experience with crypto assets to take part in the industry.
Crypto enthusiasts believe this new Bitcoin ETF will lead to further ETF products down the line. Rumors about an Ethereum ETF have already begun but no paperwork has yet been drawn toward the SEC for review.
Historically, when an investment reaches the stage where it gets an ETF, its value is amplified as new buyers seek to take part in the opportunity.
Many crypto enthusiasts believe the creation of the Bitcoin ETF will be the catalyst to much further adoption than we have seen before. With Bitcoin and the cryptocurrency market reaching new all-time highs in market cap it is looking good for the industry to continue to grow.
We will have to wait to see if this new ETF will be added to any retirement fund portfolios. If this happens, many people can opt for a portion of their paycheck to go into Bitcoin through tax-free means.