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New York, August 17, 2020 (GLOBE NEWSWIRE) – Grayscale Investments®, the world’s largest digital currency asset manager, announced today that Grayscale® Bitcoin Cash Trust and Grayscale® Litecoin Trust have received DTC eligibility. Eligible shares of Grayscale Bitcoin Cash Trust will be available for trading on OTC markets under the symbol: BCHG and eligible shares of Grayscale Litecoin Trust will be available for trading on OTC markets under the symbol: LTCN. This announcement follows FINRA’s verification that the due diligence required to begin listing BCHG and LTCN under Rule 15c2-11 under the Securities Exchange Act of 1934, as amended, has been completed.
Trusts are open trusts sponsored by Grayscale and are intended to allow exposure to the price movement of each Trust’s underlying assets through an investment vehicle, avoiding the challenges of buying, storing and digitally custody of Bitcoin Cash or Litecoin directly.
SECONDARY MARKETS for PRIVATE PLACES
The Trusts have been offering private placements to accredited investors since March 2018. As of July 31, 2020, there were 6,028,000 Shares of BCHG outstanding and each Share represented ownership of 0.00941311 Bitcoin Cash. As of July 31, 2020, there were 2,500,800 outstanding Shares of LTCN and each Share represented ownership of 0.09413112 Litecoin. Shares created through the respective private placement of each Trust become eligible for sale on the public market after a legal holding period of one year under Rule 144 of the Securities Act. *
All investors with access to US securities will be able to buy and sell freely negotiable shares of BCHG and LTCN through their own investment accounts in the same way that other unregistered securities would.
INVESTMENT OBJECTIVE
The investment objective of each Trust is that the Shares (based on assets per Share) reflect the value of the assets held by that Trust, determined by reference to the appropriate TradeBlock index at 4:00 pm New York time, net of expenses of that Trust and other liabilities. TradeBlock’s BCX Index is the benchmark for the Grayscale Bitcoin Cash Trust and the TradeBlock LTX Index is the benchmark for the Grayscale Litecoin Trust. The Trusts will not generate any income and will regularly distribute Bitcoin Cash and Litecoin respectively, to pay its current expenses. Therefore, the amount of Bitcoin Cash and Litecoin represented by each respective Share gradually decreases over time.
The Trusts are not registered with the Securities and Exchange Commission and are not subject to disclosure and certain other requirements imposed by US securities laws.
FAMILY OF PRODUCTS IN GRAY SCALE
Grayscale’s investment products are available to accredited institutional and individual investors through their respective periodic and ongoing private placements. In addition to offering Bitcoin Cash (BCH) and Litecoin (LTC), Grayscale’s single-asset investment products provide exposure to Bitcoin (BTC), Ethereum (ETH), Ethereum Classic (ETC), Horizen (ZEN), Stellar Lumens (XLM)), XRP and Zcash (ZEC). Additionally, Grayscale’s diversified investment product, Grayscale® Digital Large Cap Fund, offers 70% greater coverage of the digital currency market based on market capitalization. As of July 31, 2020, Grayscale was managing approximately $ 5.2 billion in assets.
BCHG and LTCN represent Grayscale’s fifth and sixth publicly traded investment product. Grayscale® Bitcoin Trust (OTCQX: GBTC), Grayscale® Ethereum Trust (OTCQX: ETHE), Grayscale® Ethereum Classic Trust (OTCQX: ETCG) and Grayscale® Digital Large Cap Fund (OTCQX: GDLC) are also listed and publicly available at all investors with access to US securities. Investors will be able to find current financial information and real-time level 2 quotes for the shares at www.otcmarkets.com/stock/BCHG/overview once trading for BCHG and www.otcmarkets.com/ begins. stock / LTCN / overview once traded for LTCN begins.
* Each Trust offers a private placement to accredited investors. The investment objective of each Trust is that its Shares reflect the value of the assets held by that Trust, less the expenses and other liabilities of that Trust. As each Trust does not currently operate a redemption program, there can be no assurance that the value of the Shares will approximate the value of the assets held by that Trust, less the expenses of that Trust and other liabilities, and the Shares may be traded for a a premium or a substantial discount to such value and such Trust may not be able to meet its investment objective.
This press release is not an offer to sell or the solicitation of an offer to purchase securities in any jurisdiction where such an offer or solicitation would be illegal, nor will there be any sale of any securities in any jurisdiction in which such offering, soliciting or selling would be illegal prior to registration or qualification under the securities laws of that jurisdiction.
About Grayscale Investments®
Grayscale Investments is the largest digital currency asset manager in the world, with over $ 5.2 billion in assets under management as of July 31, 2020. Through its family of 10 investment products, Grayscale provides access and exposure to the asset class in digital currency in the form of traditional security without the challenges of buying, storing and directly custody of digital currencies. With a proven track record and unmatched experience, Grayscale’s products operate within existing regulatory frameworks, creating safe and compliant exposure for investors. For more information, visit www.grayscale.co and follow @Grayscale.
Marissa Arnold [email protected]
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