Arcane Research: Don’t Wait For Spot Bitcoin ETF Launch Soon

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The market is not awaiting approval SEC sweat ЕTF based on the first cryptocurrency. According to analysts at Arcane Research, this follows from the preservation of the discount of the bitcoin trust (GBTC) quotes from Grayscale Investments relative to ARE NOT.

On October 19, Grayscale submitted Form 19b-4 to the SEC to convert a Bitcoin trust to a spot ETF under the ticker BTC. The decision was made after the start of trading by the first exchange-traded fund based on futures for the first cryptocurrency.

The trust is the largest managed by Grayscale. As of October 25, its volume was $ 40.46 billion. AUM the company was valued at $ 55.5 billion.

“Does the market expect the SEC to approve GBTC as the first spot bitcoin ETF in the US? We look at the trust discount as a market estimate for a similar scenario. If this happens, Grayscale will launch a buyback program, many traders will start playing on spread squeezing. So far, it seems that such a development of events seems unlikely, ”analysts wrote.

The GBTC discount has been observed since February 23rd. On October 25, it fell to 12.91%.

Dynamics of GBTC premium / discount to NAV. Data: yCharts.

In May 2021, Barry Silbert’s Digital Currency Group, the parent company of Grayscale Investments, announced an increase in the purchase limit for GBTC shares from $ 250 million to $ 750 million.

Recently, US Global Investors, Miller Opportunity Trust, Morgan Stanley and Wealthfront announced the acquisition of GBTC shares.

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