On 6th May 2022, Robinhood, a leading financial services company, reported that it had listed Ethereum Trust (ETHE) and Bitcoin Trust (GBTC). Robinhood customers can now access and use crypto investment products to get exposure to Ethereum and Bitcoin without actually owning them.
Robinhood Now Adds ETHE and GBTC Trusts, Plans for More
Last week, Robinhood added ETHE and GBTC to the company’s platform, which allows its brokerage account clients to buy/sell ETHE or GBTC options and stocks.
The move follows the rolling out of its crypto wallet in the first week of April. A few days later, on 12th April 2022, Robinhood listed Solana (SOL), Compound (COMP), Shiba Inu (SHIB), and Polygon (MATIC).
According to Barry Silbert, the founder, and CEO of Digital Currency Group (DCG), the parent company of Grayscale, the move is a huge achievement for them. “You can now trade Grayscale Bitcoin Trust and Grayscale Ethereum Trust directly on Robinhood,” added Silbert.
Market reports show GBTC and ETHE are down 46.63% and 44.08%, respectively. Recently, Grayscale made an application to the United States Securities Exchange Commission (SEC) for a Horizen Trust, Stellar Trust, and Zcash Trust.
Grayscale has also reported it is trying to get its trust changed into an exchange-traded fund (ETF). However, the SEC is yet to make a decision on Bitcoin spot ETFs. According to Michael Sonnenshein, the CEO of Grayscale Investments, the SEC could be violating the Administrative Procedure Act for not approving spot ETF.
If the trust becomes an ETF, Craig Salm, the Grayscale Investments’ chief legal advisor, explained that GBTC stock prices would follow NAV. Then, the stocks would be uplisted from QTCQX to NYSE Arca.
Before adding Ethereum Trust and Bitcoin Trust, Robinhood expanded operations to Europe by acquiring a crypto company referred to as Ziglu. Last month, Vladimir Tenev, the founder and CEO of Robinhood, explained how DOGE is likely to grow with Elon Musk.