Another company joins the Bitcoin trust sector as California fund manager Arca has filed a registration with the US Securities and Exchange Commission for its Arca accredited investor Bitcoin Trust. The trust will compete against a number of competitors, including Grayscale’s popular bitcoin investment vehicle GBTC.
Arca files with the US SEC to list their accredited investor, Bitcoin Trust
Finance manager Arca has filed a Form-D registration with the US SEC to bring investors a new Bitcoin trust offering. The fund is known as the “Arca Accredited Investor Bitcoin Trust” and, according to Arca filing, will raise investments of $ 25,000 or more. That’s half the value of Grayscale’s minimum GBTC investment of $ 50,000.
Arca has other Crypto Fund products and the Arca US Treasury Fund. The Fund is “a closed-end fund registered under the Investment Company Act of 1940 that issues shares as digital securities that are transferable using blockchain technology,” the Company states. The Arca US Treasury Fund named “Arcoin” was launched on July 6, 2020. The Arca Accredited Investor Bitcoin Trust will focus on Bitcoin (BTC).
Arca will compete with Grayscale, Bitwise, Crosstower, Osprey Fund, and Blockfi
Arca will compete with the Grayscale Bitcoin Trust, a popular investment vehicle that accounts for more than 3% of total BTC supply. Grayscale bought $ 350 million worth of BTC last week as the trust now has around 690,000 BTC in custody. Arca’s registration on Form D does not specify the emission size and uses federal exemption rule 506 (c). The California-based company will compete not only with Grayscale but a number of other funds joining the Bitcoin Trust Race.
News.Bitcoin.com recently reported on the Bitwise fund and the offer from financial services company Blockfi. The Arca Bitcoin Trust will also compete with trusts from Crosstower and the Osprey Fund. All trusts have different fee frameworks that differ from Grayscale’s fee structure.
What do you think of the Arca Accredited Investor Bitcoin Trust? Let us know what you think on this matter in the comments section below.
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