Cryptocurrency fund manager Grayscale Investments now holds more than 500,000 BTC in its Bitcoin Trust.
Grayscale holds $ 8.35 billion worth of Bitcoin, which is 2.69% of Bitcoin’s outstanding supply and market cap (BTC), according to a November 16 post.
Since Chainalysis estimates that around 3.7 million BTC have been lost, Grayscale may actually have 3.37% of the remaining supply of Bitcoin in circulation
The shares of Grayscale Bitcoin Trust appeal to institutional investors willing to pay a premium for buying and holding cryptocurrency through the security of a regulated fund. They currently represent Bitcoin worth $ 15.62 each but change hands for $ 18.86. This corresponds to a premium of almost 19%. Grayscale also has a 2% annual fee.
Grayscale Bitcoin Trust now holds more than 500,000 BTC. Yes, you read that right. Find out more about the world’s largest #bitcoin investment product. #GoGrayscale https://t.co/2sEpUdw8iN pic.twitter.com/9h8nGZ8i4t
– Grayscale (@Grayscale) November 16, 2020
The Grayscale Bitcoin Trust aggressively accumulated bitcoin in 2020, with the amount of BTC held by the fund increasing nearly 50% over the past six months. This is a steep increase in 2020 for a fund launched seven years ago that indicates institutional interest.
Last week, the fund reported its largest weekly inflow of all time at BTC 15,907 worth $ 215 million.
Grayscale’s Ethereum Trust also stepped up its purchases in 2020 and now holds around $ 1.175 billion worth of ethers, or 2.24% of ETH’s total capitalization.
Grayscale’s eight other crypto funds currently manage nearly $ 400 million worth of assets, bringing the total value of digital assets under management by the company to $ 9.9 million.