Analysis of CEO Michael Sonnenshein's Opinion on the Competitive Race for the Grayscale Bitcoin ETF

Spot Bitcoin ETF Race Heats Up with Updated Filings

As the race for a spot Bitcoin exchange-traded fund (ETF) intensifies, eight issuers have filed updated S-1 forms to declare authorized participants (APs), fees, and other changes. Grayscale, along with other filers, has also submitted a written communication regarding APs after the U.S. SEC set December 29 as the deadline for updating spot Bitcoin ETF applications.

Grayscale CEO Highlights Long-standing Preparedness

Grayscale Bitcoin Trust has submitted a free writing prospectus (FWP) to the U.S. Securities and Exchange Commission (SEC), echoing Grayscale CEO Michael Sonnenshein’s statement that they have had APs lined up since 2017. This aligns with an SEC filing from May 2017 that mentions Jane Street and Virtu as Grayscale’s authorized participants.

Other Spot Bitcoin ETF Issuers Update S-1 Filings

Various spot Bitcoin ETF issuers, including BlackRock, Fidelity, Valkyrie, VanEck, Bitwise, Invesco and Galaxy, WisdomTree, and Franklin Templeton, have also submitted updated S-1 filings. These filings announce their authorized participants (APs) or fees. Fidelity Wise Origin Spot Bitcoin ETF stands out with its low fee of 0.39%.

Expert Opinions on Grayscale’s Position

Bloomberg ETF analyst James Seyffart commends Grayscale’s preparedness and suggests that more issuers will join the race. The window for spot Bitcoin ETF approval is expected to be between January 5 and 10, 2024. However, Bloomberg senior ETF analyst Eric Balchunas warns that Grayscale must fulfill filing requirements and confirm their authorized participants.

Hot Take: Grayscale’s Strong Position in the Spot Bitcoin ETF Race

The race for a spot Bitcoin ETF is heating up, with Grayscale asserting its readiness and long-standing partnerships. With the submission of updated S-1 forms and the declaration of authorized participants, various issuers are vying for approval. While experts have confidence in Grayscale’s position, it is crucial for them to meet all requirements to secure their spot in the race.