Speaking during an interview with CNBC on June 10, Sonnenshein noted that the interest in assets like Bitcoin as a portfolio diversifier is emerging despite the ongoing market pullback. According to the executive, volatility is not the main issue impacting investors as they look at the sector from a long-term perspective. He noted that investors are increasingly focusing on the regulatory outlook.
Investors not focused on volatility
Sonnenshein’s revelation comes after asset management giant Fidelity revealed it would enable investors to allocate Bitcoin to their investment plans. However, the move has been met by an objection from the U.S. Treasury Secretary Janet Yellen, who said Bitcoin is not ideal for retirement. Notably, Sonnenshein blasted Yellen stating that she was shortsighted to be pushing for restrictions on access to Bitcoin, noting that investors are aware of the cryptocurrency’s long-term returns. Additionally, Grayscale continues to explore different crypto investment products, with the Bitcoin spot ETF being one of the possible offerings set to join the market. The company is currently awaiting feedback from the Securities Exchange Commission (SEC) on converting its Grayscale Bitcoin Trust (GBTC) into a spot Bitcoin Exchange-Traded Fund (ETF). However, as reported by Finbold, an analyst believes that if the SEC rejects the application, Grayscale might resort to suing the agency. This is after the company beefed up its legal team with the inclusion of the former Obama administration solicitor general Donald B. Verrilli Jr. Currently, the SEC has until July 6 to issue feedback on the application, even as legal experts opine that the regulator has no grounds to reject the spot ETF.
