GBTC and Bitcoin NAV Gap Shrinks
According to the most recent data chart from YCharts, it is evident that the gap between GBTC and Bitcoin’s net asset value (NAV) has shrunk to 15.87% as of October 13. This article will explain why.
SEC Decided Not to Appeal
Bloomberg’s ETF analyst, James Seyffart, suggests that spot Bitcoin ETF approvals are now highly likely. He calls it a “done deal” in his October 13 post. It appears that the U.S. Securities and Exchange Commission (SEC) has decided not to appeal the Grayscale decision.
The SEC chose not to challenge the court’s overturning of its judgment to refuse Grayscale’s request to convert its bitcoin trust into an ETF. The SEC had until Friday at midnight to appeal, but they let the deadline pass. In response, Bitcoin surged past $27,000 and traded around $27,950.
Grayscale Is Prepared
Grayscale also confirmed on October 15 that the SEC’s 45-day timeframe for requesting a rehearing has passed. Within seven calendar days, the court will issue its “final mandate.”
Grayscale is ready to transform GBTC into an ETF once they receive permission from the SEC. They claim their team is prepared and will share more information soon.
This development signifies a significant change in the regulatory environment and raises hopes for creating an easier investment option through a Bitcoin ETF.
Other Exchanges
Data shows that the discount for GBTC started decreasing after BlackRock and other financial institutions submitted spot Bitcoin ETF applications in mid-June. The discount was 44% on June 15 and decreased to 26.7% by July 5. Since then, it has continued to decrease.
Hot Take: Positive Outlook for Bitcoin ETF
The shrinking gap between GBTC and Bitcoin’s NAV, along with the SEC’s decision not to appeal the Grayscale ruling, has sparked optimism for the approval of spot Bitcoin ETFs. This could lead to increased accessibility and investment options for Bitcoin, potentially driving its value even higher. With Grayscale prepared to convert GBTC into an ETF and other financial institutions joining the race, the future looks promising for a Bitcoin ETF. Investors and enthusiasts eagerly await further developments in this space.
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