Potential issuers of US spot Bitcoin ETFs have disclosed the product's initial funding amounts in updated Forms S-1 for SEC.
VanEck Investment Company stated about the intention to allocate an amount of $72.5 million for the structure.
BlackRock will direct to launch a Bitcoin ETF $10 million.
Bitwise Asset Management planned initial investment of $500,000. At the same time, Pantera Capital has expressed interest in investing $200 million in the Bitcoin fund. According to the application, this intention is not a legally binding obligation of the company.
Valkyrie Foundation will receive from the parent company $525,000 through the purchase of shares. Initial funding for an ETF based on the first cryptocurrency from ARK Invest and 21Shares will be $437,000.
WisdomTree at the end of December allocated $2.5 million to a subsidiary declared by the sponsor of the future fund. Around the same time, Invesco and Galaxy followed a similar path, but the amount of investment in their joint product reached $5.1 million
Issuers also provided final information on fee structures for crypto ETFs. The lowest fixed commission rate of 0.24% was announced by Bitwise. Next comes VanEck at 0.25%, but the firm also offers zero commission for the first 3-6 months. BlackRock's fee for the initial period will be 0.2% with a further increase to 0.3%.
Against this backdrop, Grayscale Investments reduced its commission from 2% to 1.5% as part of the proposed conversion of its Bitcoin trust into a spot ETF. At the time of writing, the asset value of the Grayscale Bitcoin Trust amounts to almost $29 billion. The trust holds more than 622,600 BTC or about 3% of the total emission of the first cryptocurrency.
Two days before the SEC's decision on spot Bitcoin ETFs, the head of the department, Gary Gensler, warned about the volatile nature of crypto assets and the risks associated with them.
According to Matrixport analyst Markus Thielen, the regulator will reject all applications to launch products in January, contrary to the expectations of a number of experts.
Source: Cryptocurrency
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