Victor Ugochukwu · Dec 14, 2020 . 5min read
FINRA approves Grayscale of Bitcoin Cash and Litecoin shares trading on public stock market
Grayscale has just got the go-ahead from FINRA to list Bitcoin Cash and Litecoin. The new stocks will trade under the symbols LTCN and BCHG
By Victor Ugochukwu · Jul 21, 2020 . 6min read
Grayscale, arguably one of the biggest names in institutional cryptocurrency investment trading platforms, announces a go-ahead from FINRA to list Bitcoin Cash and Litecoin to the public.
Following this announcement, the new stocks will trade under the symbols LTCN and BCHG. They will be available to the general public in the next two to four weeks.
Grayscale Investments is a New York-based asset manager available to institutional and only individual accredited investors. With Grayscale’s latest addition of Bitcoin Cash and Litecoin to its portfolio of investments, it makes it the sixth to be available to the public in the form of shares. These are Bitcoin, Ethereum, Ethereum Classic, Horizen, Stellar Lumens, Ripple and the privacy coin Zcash.
These “stocks” as its called on it’s over the counter platform (OTCQX) are traded only to accredited investors. FINRA – Financial Industry Regulatory Authority is the body that oversees this certification. It regulates securities which do not have to be registered with the Securities Exchange Commission. SEC, on the other hand, is popular for its crackdown on crypto-focused erring firms dealing in unlicensed securities.
Both BCHG and LTCN shares will have no trading in their respective public quotations until they become DTC eligible. DTC Eligibility means that accredited investors can deposit public company’s securities through DTC. Depository Trust Company is the world’s largest securities depository. It normally takes about three to five business days for these kinds of transfers to be due. Grayscale assures its new listings will become DTC eligible shortly.
Grayscale had earlier reported a record $1 billion inflows within the last quarter. This boom nearly doubled to what it reported the previous quarter. This uptick could be linked to the COVID – 19 and the surrounding economic uncertainties.
Cryptocurrency portfolios booming among Millenials
Millennials show a preference towards Bitcoin and other cryptocurrency stocks listed on Grayscale and other popular investment platforms like Robinhood. This perhaps explains the boom for Robinhood who serves more of retail investors. It has however found itself in troubled waters necessitating the installation of bulletproof glass doors to shield itself from frustrated customers.
Bitcoin Cash and Litecoin’s prices stand at $228.36 and $43.51 respectively on Coinmarketcap at the time of this publication.