Grayscale CEO: Most of 11 approved Bitcoin ETFs will not survive
Michael Sonnenshein, CEO of Grayscale Investments, said that most of the 11 approved Bitcoin exchange-traded funds (ETFs) cannot survive. Many ETF issuers charge 0% fees for a limited time and then slightly increase fees. Most approved ETFs charge between 0.2% and 0.4%. However, Grayscale Bitcoin Trust ETF charges a fee of 1.5%. Sonnenshein listed several reasons for this fee, including that it is the largest Bitcoin fund, has a 10-year "successful operation" record, and has a diverse investor base. The reason why other ETF fees are lower is that these products have "no track record" and issuers are trying to attract investors through fee incentives. Sonnenshein believes that two to three spot Bitcoin ETFs "may achieve some critical mass" of managed assets, but others may withdraw from the market.
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