Brothers Cameron and Tyler Winklevoss are going to list their Winklevoss Bitcoin Trust (WBT) on the NASDAQ stock exchange.
The Securities and Exchange Commission (SEC) is still to give the final approval. The regulatory filing is an amendment to the documents, which were submitted to the SEC by the exchange traded fund (ETF) in order to get the fund off the ground. The filing was registered with the SEC in July 2013.
If WBT is granted SEC Approval, investors will be able to acquire shares in the bitcoin trust.
This new bitcoin-investment trust is likely to operate on smaller exchanges and on the margins of mainstream investments.
A listing on the NASDAQ would be a legitimacy boost for the concept of bitcoin-based securities. Winklevoss Bitcoin Trust would be listed alongside with such companies as Google (GOOG), Microsoft (MSFT) and Apple (AAPL).
The trust would become the first publicly-listed bitcoin ETF. WBT belongs to Math-Based Asset Services, LLC, which was established by Winklevoss brothers.
The WBT would have an IPO consisting of one million total shares. Each share is valued at about one-fifth of a bitcoin, which would mean that the trust currently controls 200,000 BTC. At today’s prices, the Winklevoss ETF would be estimated at about $90 per share.
Selling “shares” of bitcoin on NASDAQ would secure an access for the investors to bitcoin-based assets.
SecondMarket, an American online marketplace for buying and selling liquid assets with headquarters in New York City, manages a bitcoin investment trust. Still, the fund is restricted to accredited investors.
Cameron and Tyler Winklevoss, who also took part in the creation of Facebook, have been advocates of bitcoin during some time.Last year they said they expect BTC to reach value of $40,000 per coin in the future.
The twins announced their bitcoin investment in 2013, currently own 1% of all bitcoins in circulation. The Winklevosses jointly own more than $50 million in BTC.
The Winklevosses are trying to focus the public on the positive virtues of the digital currency industry. Besides appearing on CNBC, the brothers testified this year in front of the New York Department of Financial Services’ hearings on digital currencies. Moreover, the twins will be among the keynote speakers at Money2020 conference this year, which is likely to attract thousands of people from the financial industry.
However, the SEC has recently warned bitcoin investors of the high risks that accompany the digital currency:
“Has the potential to give rise both to frauds and high-risk investment opportunities.”
They also pointed out to the volatility and price fluctuations.
Still, the WBT continues to make filings with the US government’s regulatory institution for securities.