FAQs

What are Osprey Funds single coin trusts?

Our single coin trusts provide a simple and secure way to gain digital asset exposure in your investment portfolio, without having to worry about wallets, keys, or storage.

Each Grantor Trust tracks the price of the underlying crypto asset. The daily Net Asset Value is determined by the 4pm closing price of the coin.

Where are the trusts held?

Our third-party custodians are industry leaders Fidelity Digital Assets Services and Coinbase, who hold the digital assets in cold storage.

The Osprey Bitcoin Trust can be held in a brokerage account, IRA, or other tax advantaged account. The Polkadot, Algorand, and Solana Trusts are only available for private placement and can be held with select IRA partner providers.

Why should I own shares in the trust vs. purchasing digital assets outright?

We make it easy for you to invest in digital assets by managing the whole process — allowing investors the benefits of crypto exposure without the burden of purchasing, storing, keeping it safe, and managing the keys and passwords.

We’ve completed due diligence on all counterparties involved, giving the our investors peace of mind in the process.

What is the Product Lifecycle for each Osprey Funds Trust?

  1. Osprey launches the Trust and makes it available for Private Placements for accredited investors only.
  2. After fulfilling all regulatory requirements, Osprey lists the Trust on the OTC Market, giving non-accredited investors access in their brokerage account.
  3. Osprey files a Form 10 Registration Statement, making the Trust a SEC reporting entity and shortening the lockup period to six months.
  4. Osprey files to convert the Trust into an ETF when the SEC allows for it.

How do investors invest in Osprey Funds Private Placements?

Accredited Investors may purchase shares at Net Asset Value and can participate in the private placement by subscribing online.

What is an Accredited Investor?

The SEC has provided the following options to prove the Accredited Investor status:

  • Net worth exceeding $1 million, either individually or jointly with their spous
  • Annual income exceeding $200,000 ($300,000 for joint income) for the last two years with the expectation of earning the same or a higher income in the current year.
  • Professional Certification: Series 7, 65, or 82

What are the fees and expenses associated with Osprey products?

The Osprey Bitcoin Trust management fee is 0.49%. Additional fees and expenses include custody, audit, index licensing, and legal. We expect these additional expenses to total 0.30% or less for 2021.

We’re waiving the management fee for all other Trusts until January 1, 2023 and may extend this waiver annually.

Can I purchase shares in my retirement account?

Private placement investors can purchase shares in a Self-Directed IRA account, as long as your IRA custodian allows private placements to be held in your account. Please check with your broker.

Self-Directed IRA providers already onboarded on the Osprey platform include Alto IRA*, The Entrust Group, Mainstar Trust, Madison Trust Company, Provident Trust, and Pacific Premier Trust.

*We’ve selected Alto as our preferred provider for easy and cost-effective private placement investing. You can learn more about Alto here.

What is the minimum investment for Accredited Investors participating in the private placement offering?

Osprey Bitcoin Trust Private Placement investments require a $25,000 minimum investment size.

Private Placements in all other Trusts require a $10,000 minimum investment.

What is the lock up period?

The lock up period is six months for private placement investments in the Osprey Bitcoin Trust and one year for all other products.

On the secondary market, under what ticker symbol will you find the Osprey Bitcoin Trust?

OBTC.

How do I transfer private placement shares in the trust to my brokerage account?

After the lock-up period ends, our transfer agent, Continental Stock, will facilitate transferring the shares into a brokerage account.

Can I buy shares in the Osprey Bitcoin Trust if I’m not an Accredited Investor?

Yes, shares trade in the secondary market under the ticker symbol OBTC.