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Ark Invest Exits GBTC Completely Before Bitcoin ETF Goes Live

Published 2023-12-28, 10:43 a/m
© Reuters Ark Invest Exits GBTC Completely Before Bitcoin ETF Goes Live
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U.Today - As reported by , Ark Invest has sold its remaining shares of the Grayscale Bitcoin Trust, an unexpected move as investors await the approval of an exchange-traded fund that will invest directly in Bitcoin.

Investors are hoping that the U.S. Securities and Exchange Commission (SEC) will approve a spot Bitcoin ETF (TSX:EBIT) by Jan. 10. Grayscale is also pursuing approval to convert its Bitcoin Trust, the world's largest, into an ETF.

According to Bloomberg, the ARK Next Generation Internet ETF sold all of its remaining 2.25 million shares of Grayscale Bitcoin Trust on Wednesday. This comes as Cathie Wood's exchange-traded fund makes significant revisions to its Bitcoin-related holdings.

On the other hand, the company purchased 4.32 million shares of the ProShares Bitcoin Strategy ETF on the same day, making it the fund's second-largest holder, per Ark Investment Management LLC's daily data.

Despite the reaching its highest level since April 2022, Wood has been decreasing her holdings in Grayscale Bitcoin Trust, which was once the top position in the ARK Next Generation Internet ETF.

Bitcoin has more than doubled in 2023, with most of the gains coming around the end of the year, as the U.S. Securities and Exchange Commission is expected to approve spot Bitcoin ETFs early next month.

, on the other hand, continues to accumulate Bitcoin in preparation for the probable approval of a spot BTC exchange-traded fund (ETF) in the United States.

The business intelligence firm purchased 14,620 BTC for $615.7 million in cash between Nov. 20, 2023, and Dec. 26, 2023, according to the firm's 8-K filing with the U.S. Securities and Exchange Commission.

According to the filing notes, the latest Bitcoin hoard cost MicroStrategy around $42,110 per BTC, including fees and other charges.

This article was originally published on U.Today

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