Grayscale Bitcoin Trust Files to Become First Fund to Report to SEC

Grayscale Bitcoin Trust (GBTC) has positioned itself to become the first cryptocurrency investment fund to achieve a reporting status to the United States Securities and Exchange Commission (SEC).

Published in a blog on Nov.19, Grayscale announced that it had filed a Registration Statement on Form 10 with the SEC. The Trust clarified that it was not seeking recognition as an exchange traded fund (ETF) but did highlight what would change for its investors should the SEC approve the filing.     

Pending Approval

Historically, it would make the Trust the first digital currency investment vehicle to achieve a reporting status with the SEC and to register its shares pursuant to the Exchange Act. Grayscale would also fall under the SEC’s auditing standards in this event which could have a positive effect on attracting further investment as institutional restrictions on investment will be eased.

The Trust also highlighted the increased opportunity for liquidity among accredited investors stating, “Accredited investors who have previously purchased shares in the Trust’s private placement would have an earlier liquidity opportunity, as the statutory holding period of their private placement shares would be reduced from 12 to 6 months.”

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