Grayscale Bitcoin Trust (GBTC)

The steady stream of bad news for DCG has contributed to downward pressure on the Grayscale Bitcoin Trust, which has seen its discount compared to spot bitcoin prices grow as high as 49% in mid-December. Friday was a very positive day for GBTC, however, as it gained over 8% on the session and was trading at $11.33 at the time of writing, with the discount rate just under 40%.

Click to expand...

Institutional crypto brokerage Genesis filed for bankruptcy late Thursday night after months of concern over the degree of its exposure to FTX and Alameda and weeks of bitter conflict with the Gemini crypto exchange whose customer assets they held.
...
The move comes after yesterday’s reports that Genesis was in confidential negotiations with various creditor groups and would file for bankruptcy protection if it failed to raise the necessary capital.
...
Cameron Winklevoss, who together with his twin brother Tyler owns Gemini, posted a thread on Twitter calling the Genesis bankruptcy filing “a crucial step towards us being able to recover” client assets while again taking aim at DCG and Silbert.

“The good news is that, by seeking the protection of the bankruptcy court, Genesis will be subject to judicial oversight and be required to provide discovery into the machinations that brought us to this point,” he said, adding that the filing “does not insulate Barry [Silbert], DCG, and any other wrongdoers from accountability.” Winklevoss said that they would file a lawsuit against DCG and Silbert “imminently” if they do not receive an offer they consider fair.
...

Click to expand...

...
Circuit Judge Neomi Rao, writing the D.C. Circuit Court of Appeals' opinion, said that federal agencies are required to "treat like cases alike."

"The Securities and Exchange Commission recently approved the trading of two bitcoin futures funds on national exchanges but denied approval of Grayscale’s bitcoin fund. Petitioning for review of the Commission’s denial order, Grayscale maintains its proposed bitcoin exchange-traded product is materially similar to the bitcoin futures exchange-traded products and should have been approved to trade on NYSE Arca. We agree," she said.

The SEC did not explain why it was treating these products differently, making the Grayscale denial "arbitrary and capricious," she added.
...

Click to expand...

The Securities and Exchange Commission won’t appeal a court’s scathing reversal of its decision not to let Grayscale convert its bitcoin trust into a more investor-friendly exchange-traded fund, according to a person familiar with the matter, possibly clearing the way for the first bitcoin ETF in the U.S.

The markets regulator had until midnight Friday to decide on challenging the court’s decision, but the SEC will let that deadline come and go without appealing, the person said. ...
...
It’s unclear how the SEC will proceed in its next round with Grayscale’s application. The agency still has the authority to deny it for other reasons besides the ones courts shot down, though Grayscale could challenge those again in court.
...

Click to expand...

The U.S. Securities and Exchange Commission (SEC) has opened talks with Grayscale Investments on the details of the company's application to convert its trust product GBTC to a spot bitcoin exchange traded product (ETF), according to a person familiar with the back-and-forth, which could have momentous implications for the crypto industry.
...
... The U.S. Securities and Exchange Commission (SEC) has opened talks with Grayscale Investments on the details of the company's application to convert its trust product GBTC to a spot bitcoin exchange traded product (ETF), according to a person familiar with the back-and-forth, which could have momentous implications for the crypto industry.
...

Click to expand...

Gemini to return $1.1 bln to customers, pay fine in regulatory settlement​

Bankrupt crypto lender Genesis has completed the sale of its Grayscale Bitcoin Trust (GBTC) shares and used the proceeds to purchase 32,041 bitcoins, according to court documents filed Friday.

The sale of GBTC shares was completed on April 2, the documents show.
...

Click to expand...

Crypto lender tied to FTX ordered to repay users $2 billion​