Grayscale Investments has announced its intention to implement reverse share splits for two of its flagship exchange-traded funds (ETFs), the Grayscale Bitcoin and Ethereum Futures ETFs. The move, aimed at optimizing share prices, is set to take effect on Dec. 14, 2023. Shareholders will see the splits adjust the number of shares while increasing their value proportionally, ensuring no change in overall investment worth.

The reverse splits will be executed at a 1-for-10 ratio for the Bitcoin ETF (ticker: GBTC) and a 1-for-5 ratio for the Ethereum ETF (ticker: ETHE). Grayscale stated that the adjustment is designed to align the ETFs with industry norms and improve their appeal to institutional investors. Post-split, the number of outstanding shares will decrease while their value per share increases, maintaining total shareholder equity.

This announcement comes as Grayscale continues to push for further acceptance of its crypto ETFs. The company has been at the forefront of advocating for cryptocurrency-related investment products, including its ongoing pursuit of converting its Bitcoin Trust into a spot Bitcoin ETF. These efforts reflect the growing competition in the ETF space as more institutional players recognize the potential of digital assets.

Market analysts have noted that reverse share splits are not uncommon in the ETF industry, often used to attract higher-value investors or to enhance trading efficiency. For Grayscale, the move underscores its commitment to staying competitive and ensuring its products remain relevant in an evolving market. The planned adjustments are anticipated to bolster investor confidence and support the broader adoption of cryptocurrency ETFs.

Phantom, a popular cryptocurrency wallet, has achieved a significant milestone by climbing to the second spot in Apple’s App Store under the finance category. The rise comes amid growing adoption of decentralized finance (DeFi) and nonfungible token (NFT) ecosystems, with Phantom emerging as a user-friendly gateway for managing digital assets. This achievement underscores the increasing demand for intuitive crypto solutions among mainstream users.

Initially developed for the Solana blockchain, Phantom has expanded its capabilities to support Ethereum and Polygon networks, broadening its appeal. The wallet’s cross-chain compatibility and focus on seamless user experience have positioned it as a versatile tool for accessing DeFi applications and managing NFTs. The app’s surge in popularity highlights the shift toward multi-chain wallets as users diversify their crypto portfolios.

The app’s success can also be attributed to its proactive approach to security and functionality. Phantom integrates features like phishing protection, transaction previews, and compatibility with hardware wallets, which have bolstered user trust. The rise in App Store rankings reflects not only Phantom’s technological edge but also its ability to attract both seasoned crypto enthusiasts and newcomers to the space.

As digital asset adoption continues to grow, Phantom’s ascent serves as a testament to the increasing role of mobile wallets in the crypto ecosystem. With competition intensifying in the wallet market, Phantom’s achievement sets a high standard for innovation and user-centric design, signaling a broader trend of mainstream integration for decentralized technologies.

South Korea has reaffirmed its plans to impose a 20% tax on cryptocurrency gains starting in 2025, following a resolution passed by the National Assembly. The tax will apply to profits exceeding 2.5 million Korean won (approximately $1,860) annually, as part of the government’s broader efforts to regulate and standardize the digital asset market. The decision solidifies South Korea’s position as one of the nations actively integrating cryptocurrency into its formal tax system.

The tax, initially slated for implementation in 2022, faced multiple delays due to pushback from industry stakeholders and concerns over insufficient regulatory infrastructure. Lawmakers cited the need for comprehensive guidelines to address the growing complexity of the cryptocurrency market. The two-year extension allowed for the establishment of stronger oversight mechanisms, including anti-money laundering measures and investor protection frameworks.

Market participants have expressed mixed reactions to the announcement. While some view the tax as a step toward legitimizing cryptocurrencies and encouraging responsible trading, others fear it could stifle innovation and discourage investment. Critics have also raised concerns about the potential impact on retail investors, who may bear the brunt of the new tax policies in an already volatile market.

As the 2025 deadline approaches, South Korea continues to refine its crypto-related legislation, aiming to strike a balance between fostering innovation and ensuring market stability. The country’s proactive stance on digital asset regulation is seen as a model for other nations grappling with similar challenges in the rapidly evolving cryptocurrency landscape.