NEW YORK - VanEck, a global investment manager, has confirmed the upcoming liquidation of its Bitcoin Strategy ETF (EXCHANGE:XBTF) after receiving the green light from the U.S. Securities and Exchange Commission (SEC) to launch a spot Bitcoin ETF (TSX:EBIT). The board's decision comes amidst considerations of investor interest, assets under management, and the regulatory landscape.
Shareholders of the XBTF ETF are advised to divest their holdings by January 30, or they will be provided with a cash settlement subsequent to the fund's liquidation. The ETF will cease trading and will be officially removed from the Cboe BZX Exchange on February 6.
Investors are also being alerted to potential tax implications. Those who will receive the liquidation distribution may face capital gains taxes if the distribution is higher than their original purchase price. This move by VanEck marks a significant shift in their cryptocurrency-related offerings, reflecting a strategic adaptation to the evolving regulatory and investment environment.
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