Patient Capital Management Unveils Grayscale Bitcoin Trust for BTC ETP

Patient Capital Management In a filing with the United States Securities and Exchange Commission (SEC) filed on March 11, Grayscale updated the prospect of a patient trust to replace the Bitcoin Trust. “cryptocurrency regulatory risk” instead of “bitcoin risk”.

The record reads:

“Effective immediately, the Fund may seek exposure to bitcoin by investing up to 15% of its net assets in securities registered under the Securities Act of 1933 and investing primarily in bitcoin (“Bitcoin ETPs”). Therefore, all references to Grayscale Bitcoin Trust throughout the prospectus and supplementary information statement at Bitcoin ETPs references have been replaced.

This move broadens the fund's investment options to include all exchange-traded products (ETPs) rather than grayscale funds.

Patient Capital Management stated in the new filing that it intends to invest up to 15% of its capital in BTC ETPS. The firms had $1.4 billion in assets under management (AUM) as of December 31, 2023, so the BTC investment could cost more than $200 million. The fund may be planning a BTC hodling strategy. According to the website:

“In this market, we believe volatility is the price you pay for long-term returns.”

Patient Capital Management said in its filing that the fund bears the risk of fluctuations in the value of BTC and that “countries, including the United States, may in the future restrict or prohibit the purchase, use or sale of Bitcoin.”

Grayscale filed an S-1 form with the SEC on March 11 to register a new “mini” version. Benefits.

As investor competition heats up, Greyscale is at a disadvantage due to its relatively high management fee of 1.5% per annum. For example, VanEck announced on March 11 that it will waive sponsor fees on the first $1.5 billion in sponsor fees in its Bitcoin Trust ETF through March 31, 2025.