As a seasoned researcher with a penchant for deciphering financial news and understanding the intricacies of the digital asset market, this latest development between Osprey Funds and Bitwise Asset Management piques my interest. The proposed acquisition of the Osprey Bitcoin Trust by BITB seems like a strategic move to consolidate their positions in the burgeoning Bitcoin ETF space.
On August 27, Osprey Funds, LLC, the backer of the Osprey Bitcoin Trust (traded as OBTC on OTCQX), and Bitwise Asset Management, operator of the Bitwise Bitcoin ETF (BITB), made a joint announcement. They revealed they have signed an agreement for asset transfer. Under this arrangement, Bitwise Asset Management will acquire the assets held by the Osprey Bitcoin Trust.
OBTC shareholders will receive BITB shares through a distribution during liquidation, shifting their investment focus from OBTC to BITB. This move aims to make it tax-free for OBTC shareholders when it comes to U.S. federal income tax. More details about this process will be provided in an upcoming Registration Statement on Form S-1, which will be submitted to the U.S. Securities and Exchange Commission (SEC). Shareholders are advised to check SEC filings for more information as they get released.
In simple terms, this transaction won’t affect the shares or the functioning of the BITB Fund for existing shareholders. The acquisition aims to provide OBTC unit holders with a smooth transition to bitcoin exposure equivalent in value through BITB, along with the advantages of Bitwise’s size and know-how. The transaction is subject to usual closing conditions and is expected to be finalized later this year.
The press release emphasizes that it’s crucial to grasp the risks involved in investing in BITB. It mentions that this investment comes with a significant level of risk and instability. Furthermore, it was pointed out that unlike mutual funds or ETFs registered under the Investment Company Act of 1940, BITB is not legally protected in the same way due to its unregistered status.
As a researcher, I’m excited to share that on August 19th, I witnessed Bitwise making a strategic move by acquiring ETC Group. This step signifies an expansion of Bitwise’s footprint in Europe, broadening their reach and potential impact within the continent.
Read More
- EUR CHF PREDICTION
- HIVE PREDICTION. HIVE cryptocurrency
- Why Mark Moss Believes the U.S. Dollar is the Biggest Asset Bubble
- Gene Simmons names the one Kiss album he feels is ‘dishonest’
- WIF PREDICTION. WIF cryptocurrency
- ZRO PREDICTION. ZRO cryptocurrency
- Hugh Jackman Shares Nostalgic Reunion Picture With Logan Co-Star Dafne Keen Ahead Of Deadpool & Wolverine; See Here
- HOUSE OF THE DRAGON Made Larys Strong a More Compelling Villain By Showing His Humanity
- DAG PREDICTION. DAG cryptocurrency
- SIN PREDICTION. SIN cryptocurrency
2024-08-27 23:56