May. 07, 2022
Dear SEC, Grayscale’s GBTC Trust should be converted to an ETF per my opinion for the following reasons: With GBTC being a Trust, the true value of Bitcoin held in the trust (NAV) is not reflected in the price as it trades at a significate discount to NAV. This discount widens/contracts due to market forces and market makers based on supply/demand not NAV. Bitcoin is a STORE OF VALUE similar to other commodities such as Oil, Gold, etc. By converting GBTC Trust to an EFT the TRUE value of GBTC (NAV) will be the market driver not supply/demand of shares on the market and manipulation by market makers. GBTC conversion to an EFT will stabilize GBTC as it trades at NAV, not market forces and will reflect the actual price movement of Bitcoin. Bitcoin is not going away, it is here to stay forever as the digital world begins to mature and drive all productivity and efficiency. It is time for the SEC to recognize and accept that Bitcoin and Ethereum are here to stay and the ability to buy Bitcoin and Ethereum directly in retail and retirement accounts is being adopted and implemented by many Wall Street firms. Fidelity Investments is allowing crypto to be purchased and held in 401K accounts if approved by plan administrator, etc. When Fidelity Investments, major banks and investment firms such as Goldman, JPM, etc., are all realizing there is a demand for Bitcoin, Ethereum, etc., and they begin offering the product to their clients, it is time for the SEC to approve the conversion of GBTC Trust to a spot Bitcoin ETF to allow retail customers an investment vehicle that reflects the price of Bitcoin. I hope you agree and will allow Grayscales GBTC Trust to be converted to an ETF in your July decision. Thanks for your time. Regards, James Thompson