iShares Bitcoin Trust Files 2023 Annual Report (10-K)

TL;DR

<b>iShares Bitcoin Trust (IBIT) has filed its 2023 10-K report, detailing its operations and regulatory status.</b>

AI Summary

iShares Bitcoin Trust (IBIT) filed a Annual Report (10-K) with the SEC on March 4, 2024. The iShares Bitcoin Trust (IBIT) filed its 10-K report for the fiscal year ended December 31, 2023. The Trust's shares are registered under Section 12(b) of the Securities Exchange Act of 1934 and trade on The Nasdaq Stock Market LLC under the symbol IBIT. The filing indicates the Trust is incorporated in Delaware with IRS Employer Identification No. 93-6461129. The principal executive offices are located at c/o iShares Delaware Trust Sponsor LLC, 400 Howard Street, San Francisco, California. The report covers the fiscal year ending December 31, 2023.

Why It Matters

For investors and stakeholders tracking iShares Bitcoin Trust, this filing contains several important signals. This 10-K filing provides a comprehensive overview of the iShares Bitcoin Trust's financial and operational status for the fiscal year 2023, crucial for investors assessing the trust's performance and structure. The listing of IBIT on The Nasdaq Stock Market LLC signifies its accessibility to public investors and adherence to exchange regulations, impacting market liquidity and investor confidence.

Risk Assessment

Risk Level: low — iShares Bitcoin Trust shows low risk based on this filing. The filing is a standard 10-K report for a financial instrument, with no immediate indicators of high risk presented in the provided header information.

Analyst Insight

Review the full 10-K filing for detailed financial statements, risk factors, and management discussion to understand the operational and market risks associated with the iShares Bitcoin Trust.

Key Numbers

• 2023-12-31 — Fiscal Year End (Fiscal year ended December 31, 2023)
• 001-41914 — Commission File Number (SEC File Number)
• 93-6461129 — IRS Employer Identification No. (IRS Number)
• 2024-03-04 — Filing Date (Conformed Submission Type Date)

Key Players & Entities

• iShares Bitcoin Trust (company) — Registrant name
• IBIT (company) — Trading Symbol
• The Nasdaq Stock Market LLC (company) — Exchange where shares are registered
• iShares Delaware Trust Sponsor LLC (company) — Address of principal executive offices
• Delaware (jurisdiction) — State of incorporation
• San Francisco (location) — City of principal executive offices
• California (location) — State of principal executive offices

FAQ

Industry Context

The iShares Bitcoin Trust is a financial vehicle designed to offer investors exposure to the price movements of Bitcoin.

Regulatory Implications

The Trust operates under the regulations of the Securities and Exchange Commission (SEC) as indicated by its 10-K filing.

What Investors Should Do

1. Analyze the full 10-K for detailed financial performance and operational disclosures.
2. Investigate the specific risk factors outlined in the filing related to Bitcoin and trust operations.
3. Monitor future filings for updates on AUM, trading volume, and any changes in regulatory landscape.

Year-Over-Year Comparison

This is the initial 10-K filing for the iShares Bitcoin Trust, covering its first full fiscal year of operations.

Key Financial Figures

• $100,000 — tee"). The Trust's net asset value was $100,000 at December 31, 2023, the Trust's fisca

Filing Documents

• bit20231231_10k.htm (10-K) — 893KB
• ex_614935.htm (EX-4.3) — 8KB
• ex_614937.htm (EX-31.1) — 12KB
• ex_614938.htm (EX-31.2) — 12KB
• ex_614939.htm (EX-32.1) — 6KB
• ex_614940.htm (EX-32.2) — 6KB
• ex_614941.htm (EX-97.1) — 30KB
• 0001437749-24-006339.txt (&nbsp;) — 2118KB
• ibit-20231231.xsd (EX-101.SCH) — 17KB
• ibit-20231231_cal.xml (EX-101.CAL) — 8KB
• ibit-20231231_def.xml (EX-101.DEF) — 98KB
• ibit-20231231_lab.xml (EX-101.LAB) — 90KB
• ibit-20231231_pre.xml (EX-101.PRE) — 109KB
• bit20231231_10k_htm.xml (XML) — 57KB

Business

Business 1 Item 1A.

Risk Factors

Risk Factors 17 Item 1B. Unresolved Staff Comments 64 Item 1C. Cybersecurity 64 Item 2.

Properties

Properties 66 Item 3.

Legal Proceedings

Legal Proceedings 66 Item 4. Mine Safety Disclosures 66 PART II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 67 Item 6. [Reserved] 67 Item 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 67 Item 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 68 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 68 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 68 Item 9A.

Controls and Procedures

Controls and Procedures 68 Item 9B. Other Information 68 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 68 PART III Item 10. Directors, Executive Officers and Corporate Governance 69 Item 11.

Executive Compensation

Executive Compensation 69 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 70 Item 13. Certain Relationships and Related Transactions, and Director Independence 70 Item 14. Principal Accounting Fees and Services 70 PART IV Item 15. Exhibits, Financial Statement Schedules 71 Item 16. Form 10-K Summary 72 Table of Contents PART I

Business

Item 1. Business. Summary The iShares Bitcoin Trust (the "Trust") was formed as a Delaware statutory trust on June 8, 2023. The Trust is governed by the Second Amended and Restated Trust Agreement dated as of December 28, 2023 (the "Trust Agreement"). The purpose of the Trust is to own bitcoin purchased by the Trust in exchange for shares issued by the Trust ("Shares"). Each Share represents a fractional undivided beneficial interest in the net assets of the Trust. The owners of the beneficial interests of Shares are the "Shareholders." The assets of the Trust consist primarily of bitcoin held by a custodian on behalf of the Trust. The sponsor of the Trust is iShares Delaware Trust Sponsor LLC (the "Sponsor"), a Delaware limited liability company and an indirect subsidiary of BlackRock, Inc. ("BlackRock"). BlackRock Fund Advisors (the "Trustee") is the trustee of the Trust; Coinbase Custody Trust Company, LLC (the "Bitcoin Custodian") is the custodian for the Trust's bitcoin holdings; Coinbase, Inc. ("Coinbase Inc." or the "Prime Execution Agent"), an affiliate of the Bitcoin Custodian, is the prime execution agent; and The Bank of New York Mellon is the custodian for the Trust's cash holdings (the "Cash Custodian" and together with the Bitcoin Custodian, the "Custodians") and the administrator of the Trust (the "Trust Administrator"). Wilmington Trust Company, a Delaware trust company, serves as the Delaware trustee of the Trust (the "Delaware Trustee"). The Trust's net asset value was $100,000 at December 31, 2023, the Trust's fiscal year end. Outstanding Shares of the Trust was 4,000 at December 31, 2023. The activities of the Trust are limited to (1) issuing blocks of 40,000 Shares (a "Basket") in exchange for the cash deposited with the Cash Custodian as consideration, (2) selling or delivering bitcoin, as necessary to cover the renumeration due to the Sponsor (the "Sponsor's Fee"), Trust expenses not assumed by the Sponsor and other liabilities and (3)

View Full Filing

View this 10-K filing on SEC EDGAR