Digital assets management firm, Grayscale Investments, revealed in an update today that it has submitted a voluntary filing with the United States Securities and Exchange Commission (SEC) to list its Bitcoin Trust product as a reporting company.
According to Grayscale, the Form 10 filing, which is now pending review of the regulator, could potentially make the firm’s Bitcoin Trust the first crypto-related investment vehicle to attain such status both in the United States and globally.
Although shares in the Bitcoin Trust are currently traded over the counter, the firm hopes to make investing in the product more comfortable for its clients, which primarily consists of accredited investors and high net worth individuals.
Specifically, attaining the status of a reporting company with the SEC will allow the trust to public file quarterly and annual reports in the same way as corporate organizations.
Additionally, such as status, if maintained by Grayscale over three months would open the opportunity for investors in the Trust to liquidate their shares after six months, instead of the current 12-month statutory holding period.
Meanwhile, Grayscale has to wait and see if the SEC sticks to its 60-days timeline for responding to such filings, although it could take as long as the regulator wishes.
Irrespective of that obscure timeline, the company expressed optimism about securing approval, especially given that the Bitcoin Trust has until now remained compliant with binding regulations such as the OTC Markets Alternative Reporting Standard (ARS).
Grayscale, according to a Nov. 11 update, has over $2.3 billion worth of client assets under management and just last month published a report which showed that their #DropGold campaign yielded success in a record-breaking Q3 2019.