Grayscale introduces ‘mini’ bitcoin ETF, 10 times cheaper than GBTC

Just over a month ago, crypto asset manager Grayscale filed to launch a ”mini” version of its bitcoin (BTC) spot ETF. Now the tycoon has released more details about the proposed exchange-traded fund, including fees. Grayscale’s bitcoin spot ETF (GBTC), launched in January, is currently the most expensive bitcoin fund on the US market, but its new sibling should be around 10 times cheaper.

Grayscale Bitcoin Mini Trust, with a fee of 0.15%.

On March 12, Grayscale filed an S-1 filing with the US Securities and Exchange Commission (SEC) for the proposed “Bitcoin Mini Trust”. If approved, this will be listed on the New York Stock Exchange (NYSE), just like GBTC.

Last month’s announcement said the new fund would have significantly lower fees than GBTC. From the new submit it turns out that not a word was lied about this. The smaller ETF will have a fee of 0.15 percent, which may make it the cheapest option among all bitcoin ETFs. It’s a big difference from Grayscale’s GBTC, which charges 1.5 percent to shareholders.

The new ETF will be a spin-off from GBTC. 10 percent of the bitcoins that Grayscale manages as collateral for its fund will be used as seed capital for a smaller ETF. Grayscale Bitcoin Mini Trust shares will be distributed equally among current GBTC shareholders.

However, investors should not get their hopes up too high, according to Bloomberg ETF analyst Eric Balchunas. “These are pro-forma financial data and are therefore hypothetical,” Balchunas explained to one the message April 20 on the social network