One of the products approved by the SEC in January 2024, Bitcoin Broken Bag (ETF) Fund Al Cash 21Shares (ARKB), has been appointed to the Action Division (Split) June 16th. This was announced on Monday at 21Shares, explaining that the aim was to improve the accessibility of the investor fund.
The split is 3 to 1. This means that for every ARKB action currently in the hands of investors, you will win three shares from the opening of the market that day. This business does not change the total investment amount or the price of Bitcoin that supports the fund. simply Lower the price per share and increase the amount of available shares.
For example, if an ARKB action was quoted at $120 before splitting, then each new action will cost around $40 after June 16th. If the investor has 10 shares, he has 30 shares, The total value for that position remains the same.
This type of sector is common in financial markets The price per unit of assets can be higher, discouraging small investors. By lowering the price per share without changing its relationship with the underlying assets (in this case Bitcoin), it encourages purchases and sales for those who handle more limited budgets or use fractional strategies.
You need to be careful about this It does not imply a change in fund policydoes not predict the price movement of Bitcoin. This is a purely technical measure to improve fluidity and access to ETFs.