Grayscale now holds half a million Bitcoin

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

According to a Nov. 16 post, Grayscale now holds to $8.35 billion worth of Bitcoin— equating to 2.69% of Bitcoin’s (BTC) outstanding supply and market cap.

But with Chainalysis estimating that around 3.7 million BTC have been lost, Grayscale may actually now be in possession of 3.37% of Bitcoin’s remaining circulating supply

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%.

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 in-flow, 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, or 2.24% of ETH’s entire capitalization.

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

Grayscale’s digital asset holdings: Grayscale

Source

Comments (No)

Leave a Reply

Cryptocurrencies: 16,229
Markets: 1,197
Marketcap: $ 3.49 T
24h Vol: $ 179.73 B
BTC Dominance: 54.99%