Key Points
- Grayscale Investments has introduced its Bitcoin Mini Trust as a spot Bitcoin exchange-traded product on NYSE Arca.
- The product has a fee of 0.15%, one of the lowest among Bitcoin ETPs.
Grayscale Investments has initiated trading for its Bitcoin Mini Trust on NYSE Arca.
The firm made the announcement on July 31, stating that the product is now available for trading.
Lower Fees and Accessibility
The Bitcoin Mini Trust, trading under the ticker BTC, is a spot Bitcoin exchange-traded product.
It boasts a fee of 0.15%, which is significantly lower compared to most other Bitcoin ETPs that usually charge around 0.20%.
Grayscale plans to seed the fund initially by transferring 10% of the Bitcoin from its Bitcoin ETF product, Grayscale Bitcoin Trust (GBTC).
Grayscale’s Bitcoin ETP
Grayscale’s first Bitcoin ETP, GBTC, has a comparatively higher fee of 1.5%.
Trading for Bitcoin on NYSA Arca started with a share price of $5.84 and $1.7 billion in assets under management.
David LaValle, Grayscale’s senior managing director, believes that the product will help lower the barrier to accessing Bitcoin in a SEC regulated investment vehicle.
The firm pointed out that, unlike most mutual funds or ETF products, the Grayscale Bitcoin Mini Trust is not registered under the Investment Company Act of 1940 and is not regulated by it.
Grayscale has previously taken a similar approach with its spot Ethereum ETPs.
After the Grayscale Ethereum Trust (ETHE) was converted to a spot ETP with a relatively high 2.5% fee, the firm launched the Ethereum Mini Trust, which also has a relatively low fee of 0.15%.
