Matrixport Founder Addresses ETF Report; Saylor Sells Shares; Bitcoin ETF Fees Set
Summary:
Matrixport's founder, Jihan Wu, has clarified that a controversial report predicting rejection of Bitcoin ETF applications was not intended for broad release. Simultaneously, MicroStrategy's CEO, Michael Saylor, started selling $216 million worth of his shares, with the proceeds primarily going towards buying more Bitcoin. In addition, Fidelity and Galaxy are setting trading fees for Bitcoin ETFs, pending their approval. Despite previous rejections, analysts remain optimistic about the approval of Bitcoin ETF applications, following Grayscale's legal victory over the SEC in August.
In a recent development, the founder of Matrixport revealed that a contentious report by his firm regarding the anticipated approval of Bitcoin ETF was not meant for public dissemination. Concurrently, Michael Saylor, CEO of MicroStrategy, has kicked off the sale of his shares in the company valued at approximately $216 million. In other related news, it has come to light that Fidelity and Galaxy are working out fee structures for their proposed Bitcoin ETFs. Meanwhile, the value of Bitcoin crossed the $45,000 threshold on January 1, days before a potential Bitcoin ETF approval decision by the SEC.
In the backdrop of the plummeting price of Bitcoin on January 3, due to fears that the SEC may reject Bitcoin trading yet again, Jihan Wu, the founder of Matrixport, shed light on the company's controversial report. This report, born within the crypto financial services company, predicts that the regulator will dismiss all spot Bitcoin ETF applications. Wu explained that although this report comprised the company's analysis, it was not designed for public release.
He further stated that the publication of the report was not an intentional move by Matrixport and was beyond their control. He emphasised the independent nature of Matrixport’s analysts, who express their views without any interference from the management. Wu also dismissed the idea that Matrixport's report was the cause of Bitcoin's sudden drop on January 3.
In other news, Michael Saylor, a co-founder and CEO of MicroStrategy, has initiated the process of selling $216 million worth of his personal shares in the company. This information was divulged in a recent filing with the US SEC on January 2. Notably, the revenue from this sale will be used to cover Saylor's personal financial liabilities and acquire more Bitcoin for his personal portfolio.
On another front, Fidelity Investments and Galaxy/Invesco have announced their fee structures for proposed Bitcoin ETFs, subject to approval. Fidelity's Wise Origin Bitcoin Trust will reportedly charge an annual fee of 0.39% while Galaxy and Invesco’s BTCO fund will charge a 0.59% annual fee. However, this fee will be waived for the first six months of the fund's operation.
While several spot Bitcoin ETF applications have been rejected by the SEC, analysts express growing optimism for approval following Grayscale's legal victory over the regulator back in August. The SEC is due to open its official approval window for various ETF proposals on January 4.
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Published At
1/4/2024 12:16:27 AM
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