Bitcoin price volatility
The trust’s assets are primarily Bitcoin, so changes in Bitcoin price flow directly into NAV and reported gains or losses.
- Scope
- Bitcoin holdings and share value
- Materiality
- high
Osprey Bitcoin Trust
Osprey Bitcoin Trust is a U.S.-based grantor trust that holds Bitcoin and issues shares whose value is intended to track Bitcoin’s market price, less trust expenses. Its assets consist primarily of Bitcoin held with a third-party custodian, and its shares trade on a public exchange.
| % | |
|---|---|
| Bitcoin trust shares | 100% Publicly traded shares representing fractional beneficial interests in Bitcoin held by the trust. |
The trust is bought by investors who want exchange-traded exposure to Bitcoin without directly holding the asset...
- Retail brokerage investorsprimary
Individuals buying shares through brokerage accounts to gain Bitcoin exposure without managing wallets or private keys.
- Institutional allocatorsprimary
Funds and professional investors using listed trust shares as a portfolio vehicle for Bitcoin exposure.
- Authorized participants and trading firmssecondary
Market participants that create and redeem baskets to support secondary-market liquidity and arbitrage.
Osprey Bitcoin Trust is organized in the United States and its shares trade on a U.S. listing venue...
- •United States is the trust’s home market and listing base
- •Shares trade on a U.S. exchange
- •Bitcoin custody and administration are U.S.-based
- •Fee payments are settled in U.S. dollars
- •Underlying Bitcoin pricing is global, not country-specific
The trust’s core strategy is to provide a simple listed vehicle that tracks Bitcoin through a regulated share structure...
01
Maintain close tracking to Bitcoinshort-term
The product’s value proposition depends on shares reflecting Bitcoin performance as closely as possible.
02
Preserve a simple custody and operating structuremedium-term
A narrow operating model reduces operational complexity and keeps the trust focused on Bitcoin exposure.
The trust is exposed to Bitcoin’s price volatility, which directly drives share value and can create large swings in...
Fair value estimation risk
Bitcoin is valued using a market-price methodology under ASC 820, which requires judgment about the principal or most advantageous market.
- Scope
- NAV and unrealized gains/losses
- Materiality
- high
Custody and counterparty dependence
The trust relies on third-party custodians and counterparties such as Coinbase and Anchorage for Bitcoin acquisition and safekeeping.
- Scope
- Operational continuity and asset security
- Materiality
- high
Regulatory and market-structure risk
Digital asset regulation, exchange rules, and market disruptions can affect Bitcoin pricing, liquidity, and investor access.
- Scope
- Bitcoin market ecosystem
- Materiality
- medium
Fair value measurement of Bitcoin
Unrealized gains/losses and net asset value
Expense accrual and Bitcoin sales for fees
Realized gains/losses, Bitcoin per share, cash balance
NAV calculation methodology
Share valuation and creation/redemption pricing
: 16.6.2026