21Shares, one of the world’s largest crypto ETF issuers, has announced that its ARKB Bitcoin Exchange-Traded Fund will undergo a 3-for-1 stock split effective June 16, 2025. The move is aimed at making the fund more accessible to a broader range of investors.
The decision will lower the per-share price, making it easier for retail investors to participate, while the total value of an investor's holdings remains unchanged.
What Does a 3-for-1 Stock Split Mean?
A 3-for-1 stock split means that each shareholder will receive three times the number of shares they currently own, while the price of each share will be reduced to one-third of its pre-split value. If ARKB closed on Monday at $104.25, its new price per share will be about $34.75, though the total value of each investor's portfolio remains the same.
The fund will continue to trade under the ticker ARKB, and its net asset value (NAV) will remain unaffected.
Fund Performance and Rationale Behind the Split
According to Reuters, ARKB has gained nearly 12% year-to-date, and 27% since the beginning of the quarter. The timing of the split appears strategic, coming amid strong performance and growing investor interest. A lower share price may psychologically appeal to retail investors, attracting fresh capital.
21Shares believes the move will lead to increased liquidity and higher daily trading volume, strengthening the fund’s overall market appeal.
ETF Provides Exposure to Bitcoin Without Holding the Asset
ARKB is a physically backed Bitcoin ETF, meaning it holds actual bitcoin and offers investors exposure to the cryptocurrency without the need to manage private wallets or keys. This is especially attractive to more conservative investors seeking to benefit from Bitcoin’s growth without dealing with its technical aspects.
Recent Outflows Could Be Driving the Move
The decision follows a $358 million outflow from U.S. spot Bitcoin ETFs on May 30, as reported by JP Morgan. This stock split may be a strategic effort to revive inflows and appeal to a wider investor base during a period of market volatility.
#BTC , #etf , #CryptoETF , #21Shares , #bitcoin
Stay one step ahead – follow our profile and stay informed about everything important in the world of cryptocurrencies!
Notice:
,,The information and views presented in this article are intended solely for educational purposes and should not be taken as investment advice in any situation. The content of these pages should not be regarded as financial, investment, or any other form of advice. We caution that investing in cryptocurrencies can be risky and may lead to financial losses.“
