The U.S. SEC has a July 6 deadline for approving or rejecting an application to convert GBTC into a Bitcoin spot ETF. As that date approached, Grayscale CEO Michael Sonnenshein released an open letter to investors reiterating the steps the company was taking to garner public support for the switch.
Sonnenshein stated that Grayscale has made a clear commitment to convert GBTC into a Bitcoin spot ETF and has spared no effort to fully utilize all of the company’s resources. Sonnenshein noted that GBTC is ready to convert into a Bitcoin spot ETF once proper regulatory approvals are obtained. To achieve this transition, Grayscale’s selected partners include BNY Mellon and Ernst & Young.
Grayscale is also exploring other options if the SEC does not allow GBTC to be converted into a Bitcoin spot ETF. Grayscale’s legal team, including in-house attorneys and Davis Polk’s attorneys, have laid out a thoughtful, comprehensive argument in favor of the GBTC conversion into a Bitcoin spot ETF.
Recently, Grayscale hired former U.S. Deputy Attorney General Donald B. Verrilli, Jr. as a senior legal strategist. Grayscale has built the strongest legal team to help shed light on the importance of this issue.