Grayscale, a well-known U.S. asset manager and exchange-traded fund (ETF) issuer, has introduced a new investment fund to the market, called the Grayscale Bitcoin Adopters ETF, which trades under the ticker BCOR. The innovation is designed to allow interested U.S. capitalists to invest in companies that have adopted bitcoin (BTC), the world’s leading cryptocurrency, as a primary reserve asset.
Companies on the list include the U.S. business intelligence firm Strategy, the Japanese publicly traded company Metaplanet, the Indian IT firm Jetking, and others.
BCOR Features
As revealed by the issuing asset manager, the BCOR ETF is a move to demonstrate confidence in the expected long-term growth of companies worldwide that will adopt BTC as a potential hedge against inflation and an asset for treasury diversification and risk management.
Additionally, BCOR prioritizes firms in their early stages of BTC adoption. Thus, investors can acquire shares of companies that hold a minimum of 100 BTC. It also features a weighting scheme that examines a company’s size and focuses on companies that are not Bitcoin miners. Thus, Mara Holdings, which holds about 47,531 BTC, is not a priority.
BCOR trades primarily on the NYSE ARCA exchange. At press time, it has only recorded a little above $1 million in assets under management (AUM) and is valued at $25.31 per share.
Grayscale’s Crypto ETF Journey
Having gained popularity over the years, Grayscale was among the first companies approved by the U.S. Securities and Exchange Commission (SEC) to list its spot BTC ETF in January 2024. Six months later, it also gained the green light to list its spot Ether ETF for American investors.
Notably, Grayscale ETFs are known in the market for high annual maintenance fees. Its Grayscale Bitcoin and Ether Trust, GBTC, and ETHE, are charged at 2.5% per annum, leading investors to pull out their funds in search of cheaper fees. To combat this, the firm introduced mini ETFs with tickers, BTC and ETH, which are charged an annual fee of 0.15%.
Consequently, ETHE has recorded an all-time outflow of $4.3 billion, while ETH has taken in $608.3 million from investors. Similarly, GBTC has recorded an all-time outflow of $22.7 billion, while BTC has seen an inflow of $1.25 billion.
Meanwhile, Grayscale recently filed with the SEC to launch a spot ETF for Solana (SOL), the world’s sixth-largest crypto by market capitalization.
