Crypto asset manager Grayscale Investments is in talks with firms, including JPMorgan and Goldman Sachs, to potentially play a key role in its proposed Bitcoin exchange-traded fund, according to a person familiar with the matter.
Both are being considered to be authorized participants — firms that have the power to create and redeem shares of the fund, said the person, who asked to remain anonymous to discuss the private talks.
Authorized participants have a crucial job because they ensure the ETF share price tracks with the underlying assets of the fund and provide a key source of liquidity. Representatives for the firms declined to comment.
BlackRock previously named JPMorgan Securities as an AP for its proposed Bitcoin ETF, along with Jane Street Capital. CoinDesk reported earlier that Goldman was in talks with Grayscale and BlackRock.
