Grayscale Investments Holds More Than 500,000 BTC In Its Bitcoin Trust
Grayscale Investments Holds More Than 500,000 BTC In Its Bitcoin Trust
November 18, 2020
Grayscale Investments Holds More Than 500,000 BTC In Its Bitcoin Trust
Grayscale Investments Holds More Than 500,000 BTC In Its Bitcoin Trust
November 18, 2020

Grayscale Investments, the cryptocurrency fund manager, holds more than 500,000 BTC in its Bitcoin Trust.

 

It has been reported that Grayscale now holds to $8.35 billion worth of Bitcoin, equating to 2.69% of Bitcoin’s (BTC) outstanding supply and market cap. 

However, Chainalysis estimated that around 3.7 million BTC, which have been lost, Grayscale may actually now be in possession of 3.37% of Bitcoin’s remaining circulating supply. 

The report said that appealing to institutional investors who are prepared to pay a premium to buy and hold cryptocurrency through the security of a regulated fund, shares in the Grayscale Bitcoin Trust currently represent $15.62 worth of Bitcoin each, yet change hands for $18.86.

This equates to nearly a 19% premium. Grayscale also charges an annual fee of 2%. 

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Likewise, the Grayscale Bitcoin Trust has aggressively accumulated Bitcoin during 2020, with the amount of BTC held by the fund increasing almost 50% in the past six months. That’s a steep rise in 2020 for a fund that launched seven years ago and suggests snowballing institutional interest.

Last week, the fund reported its largest-ever weekly inflow by taking in 15,907 BTC worth $215 million. Grayscale’s Ethereum Trust also ramped up its purchases during 2020, and now holds roughly $1.175 billion worth of Ether (ETH), or 2.24% of ETH’s entire capitalization.

Thus, Grayscale’s eight other crypto funds currently manage nearly $400 million worth of assets by bringing the total value of digital assets managed by the firm to $9.9 million.

Source: Cointelegraph


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Ishita Bora

Ishita Bora is a Senior Content Creator at Digital Notice Media Labs with an experience of 1 year. She has completed her Master's Degree in Language and Linguistics in 2019 from Gauhati University, India. Her interest lies in blockchain technology and cryptocurrency space, as she loves writing about blockchain and other blockchain-related articles. Currently, she is working on blockchain-based news, reviews, featured articles, and guides.