FTBC Bitcoin Per Share: A Comprehensive Guide

Introduction

FTBC (First Trust Bitcoin Trust) is a publicly traded investment fund that provides exposure to the price of Bitcoin, the world's largest cryptocurrency. By investing in FTBC, investors can participate in the potential growth of Bitcoin without directly purchasing and storing the cryptocurrency.

FTBC Bitcoin Per Share

The value of FTBC is directly tied to the price of Bitcoin. Each share of FTBC represents fractional ownership of the underlying Bitcoin held in the trust. The number of Bitcoins held per share varies depending on the current Bitcoin price and the net asset value (NAV) of the trust.

As of August 17, 2023, there are approximately 0.000933 Bitcoins per FTBC share.

NAV

The NAV of FTBC is calculated daily by dividing the total value of the trust's assets (primarily Bitcoin) by the number of outstanding shares. The NAV reflects the underlying value of the Bitcoin held in the trust.

Share Price

The share price of FTBC fluctuates throughout the trading day based on supply and demand. The share price typically follows the price of Bitcoin, but there can be short-term deviations due to trading volume and market sentiment.

Benefits of Investing in FTBC

• Exposure to Bitcoin: FTBC provides investors with a convenient and regulated way to invest in Bitcoin.
• Diversification: Bitcoin can offer diversification benefits for investors with a traditional stock and bond portfolio.
• Liquidity: FTBC is publicly traded, providing investors with daily liquidity.
• Tax-Efficiency: FTBC is a pass-through entity, meaning that any Bitcoin appreciation is taxed only when shares are sold.

Risks of Investing in FTBC

• Bitcoin Price Volatility: Bitcoin is a highly volatile asset, and the value of FTBC shares can fluctuate significantly.
• Regulatory Risk: The cryptocurrency industry is subject to regulatory changes that could affect the value of FTBC.
• Custodial Risk: FTBC relies on third-party custodians to store the underlying Bitcoin. These custodians are responsible for the security and safekeeping of the assets.
• Counterparty Risk: FTBC is a closed-end fund, which means that new shares cannot be created and the supply is fixed. This can lead to a wider bid-ask spread and potential liquidity issues during times of high volatility.

Tips and Tricks

• Invest long-term: Bitcoin is a volatile asset, but it has historically shown positive returns over longer time frames.
• Dollar-cost averaging: Investing a fixed amount in FTBC at regular intervals can help reduce the impact of price volatility.
• Consider tax implications: Bitcoin appreciation is taxed only when shares are sold, so it is important to consider the potential tax liability before investing.
• Monitor market conditions: Keep an eye on Bitcoin price trends and regulatory developments to make informed investment decisions.

Common Mistakes to Avoid

• Chasing the price: Don't invest in FTBC solely because the Bitcoin price is rising. Consider your risk tolerance and investment goals before making any decisions.
• Investing too much: Don't allocate more than a small portion of your portfolio to FTBC. Cryptocurrency is a volatile asset and should be treated as a high-risk investment.
• Selling too quickly: Don't panic sell during market downturns. Bitcoin has historically recovered from price declines over time.
• Ignoring regulatory risks: Stay informed about regulatory changes that could affect the cryptocurrency industry and FTBC.

Why FTBC Matters

FTBC provides investors with a unique opportunity to participate in the growth potential of Bitcoin without directly purchasing and storing the cryptocurrency. The fund offers exposure to Bitcoin while also providing the convenience, regulation, and liquidity of a publicly traded investment.

Conclusion

FTBC is a valuable investment tool for investors looking to diversify their portfolios and gain exposure to Bitcoin. However, it is important to understand the risks involved and invest accordingly. By following the tips and avoiding common mistakes, investors can maximize the potential benefits of FTBC.

Additional Information

Table 1: FTBC Performance Summary

Table 2: FTBC Historical NAV and Share Price

Table 3: FTBC Top 5 Shareholders