Barry Silbert on Converting GBTC Into Exchange Traded Funds : “Stay Tuned”


TL;DR Breakdown

  • Barry Silbert talked of the possibility of converting Grayscale Bitcoin Trust into a physically backed ETF
  • Proshares is ready to launch its Bitcoin futures ETF on Monday.

Digital Currency Group CEO Barry Silbert is exploring the idea of a physically-backed Exchange Traded Fund (ETF.) This would make investing in digital currency even more accessible for investors. Barry Silbert encouraged his followers to “stay tuned,” as a response to a tweet about converting Grayscale Bitcoin Trust into an ETF.

There are the regulator’s doubts about investor protection. So, they denied an ETF that does not track Bitcoin directly due to investors’ safety. Instead, investors will have access to futures contracts on Chicago Mercantile Exchange.

ProShares is set to launch its Bitcoin futures ETF

In a similar move, ProShares is set to launch its Bitcoin futures Exchange Traded Funds on Monday. After approval by U.S. Security and Exchange, this is making it the first of its kind in North America.

Joe Orsini, director of research at Eaglebrook Advisors, has drawn some risks linked with a futures-based ETF. He claims that it will be fit for intra-day trading instead of long-term investing. Also, it could lead to potential market variations. This might not turn out well if left unaddressed by regulations or policies introduced.

Is Approving futures-based ETF Ideal?

Last month, there were some reports about the CEO of Grayscale Investment Management. The CEO, Michael Sonnenshein, thinks approving a futures-based Exchange Traded Fund before one based on spot assets is “short sighted.”

It’s almost time for Bitcoin to convert into a spot-based ETF. According to a Thursday report by CNBC, the company is very close to filing with the SEC to become an (ETF).

David LaValle is the newly hired CEO of Grayscale, and he plans to make this September a great month for investors.

The leading crypto asset manager confirmed that it intended to convert its Bitcoin trust into an ETF in early April. This will give investors access and exposure across many markets.

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Edith Muthoni

Edith is an investment writer, trader, and personal finance coach specializing in investments advice around the fintech niche. Her fields of expertise include stocks, cryptocurrencies, blockchain, and cryptocurrency investments.

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