Key dealers
- Osprey -Funds are looking for SEC approval to convert its bitcoin confidence to an ETF.
- The conversion would provide improved liquidity and fee reductions for investors.
Osprey submitted a draft registration declaration to Securities and Exchange Commission to convert its Osprey Bitcoin Trust (OBTC) to a stock exchange traded fund, The company announced today.
The move follows the termination of Osprey’s acquisition agreement with Bitwise, which would have transferred OBTC’s assets to Bitwises ETF (BITB) but failed to ensure legislative approval.
OBTC, which currently tracks Bitcoin prices using the coin meters CMBI Bitcoin Index, has $ 181 million in the management of assets from January 2025.
While OBTC’s unit price has increased over the past year, it remains below the peak of the peak.
Greg King, CEO of Osprey Funds, sees ETF conversion as the “safest route” forward for the company’s bitcoin investment.
The proposed transformation aims to provide improved liquidity, wider accessibility and potential fee reductions through the ETF structure.
The development occurs while Osprey maintains an ongoing lawsuit against gray scale and claims misleading advertising with regard to Graysscale’s trust-to-ETF converting prospects.
