Grayscale Bitcoin Cash Trust recorded a $126.403 billion decrease in net Assets from operations for the year ended June 30, 2026, after a $122.629 billion unrealized BCH Investment loss. The result matters because the Trust’s concentrated BCH holdings directly determine net asset value and can produce substantial fluctuations and losses.

Key Highlights

  • The Trust recorded a Sponsor’s Fee of $ 4,811,000 for the year ended June 30, 2026.
  • As of June 30, 2026, the Registrant had distributed 47,123,300 Shares.
  • The Trust uses the CoinDesk Bitcoin Cash Benchmark Rate to calculate net asset value and net asset value per Share.

Grayscale Bitcoin Cash Trust (BCH) (OTC: BCHG) reported a net decrease in net assets resulting from operations of -$126,403,000 for the year ended June 30, 2026. The Trust’s operating design remains passive, with its objective tied to the value of BCH held after expenses and other liabilities.

BCH Losses Drive Annual Result

The Trust’s net realized and unrealized loss on investment in BCH was -$121,592,000 for the year ended June 30, 2026. Net investment loss was -$4,811,000, while the Sponsor’s Fee was $ 4,811,000 for the period.

Sponsor Fee Reaches $ 4,811,000

The Sponsor’s Fee was $ 1,372,000 for the period. The fee is calculated as 2.5% of the Trust’s assets less liabilities, including accrued unpaid expenses up to the calculation date. The Trust may transfer BCH to pay the Sponsor’s Fee or other expenses. It may also sell BCH when needed for additional expenses, in connection with incidental rights or related virtual currency, or when the Trust terminates and liquidates its assets.

Passive BCH Exposure Continues

The Trust holds BCH and periodically issues Creation Baskets in exchange for BCH deposits. The Shares are intended to reflect the value of BCH held by the Trust, after expenses and other liabilities, using the applicable index Price. The Trust does not use leverage, Derivatives or similar arrangements to pursue that objective. It is not actively managed and does not take actions intended to profit, or reduce losses caused, changes in BCH prices. The filing states that the CoinDesk Bitcoin Cash Benchmark Rate is used to calculate net asset value and net asset value per Share.

Share Distribution And Investor Risks

As of June 30, 2026, the Registrant had distributed 47,123,300 Shares to selected accredited investors through an ongoing offering. Periodic Shareholder distributions are not required. The investment portfolio is concentrated in BCH. The Trust states that this concentration directly affects net asset value and operating results, and can expose it to significant fluctuations, substantial losses, market Liquidity constraints, and custody, transfer, operational and Cybersecurity risks. The Trust also identifies regulatory risks across digital asset markets. China has prohibited Cryptocurrency transactions for citizens in mainland China, South Korea requires virtual asset service providers to register under its anti-money-laundering and counterterrorism framework, and the Reserve Bank of India’s restrictions on regulated entities providing digital-asset services were overturned by the Supreme Court while being challenged. The United Kingdom’s Financial Conduct Authority banned sales of derivatives and exchange-traded notes referencing certain digital assets. The European Union approved the text of its Markets in Crypto-Assets Regulation. Changes in the legal treatment of BCH or transactions involving BCH could adversely affect BCH and the Shares, require changes to the Trust’s operations, or require termination.