Grayscale Bitcoin Trust Unlock Shows Investor Confidence, Only 58 BTC Released

in grayscale •  3 years ago 

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Data from Bybt shows that the Grayscale Bitcoin Trust is doing well with its investors, with the last unlock of the year only amounting to 58 BTC.


The Grayscale Bitcoin Trust continues to do well, despite some reports that the investment vehicle was suffering. Data on Grayscale’s several cryptocurrency funds show that institutional investors are clamoring for shares.

Grayscale fears put to rest

Analysts had said that the last unlock of the year would see billions of dollars worth of BTC flood the market. This has not come to pass, and the firm only saw 58 BTC of shares unlocked. The next unlocking is expected in 2022.

One very significant piece of evidence that shows big players are holding on tight to their crypto investments. There was little selling since bitcoin’s price dropped in May, showing remarkable confidence in the long-term prospects of the asset.

The GBTC fund has a total holding of approximately 649,000 BTC, which amounts to nearly $31 billion. While this is a drop over the last 30 days, the drop itself is minimal and shows growth from where it was a few months ago. The holdings per share are roughly $44.40, which is a 15% premium over the $37.90 that is the market share.

Trusts for its other assets are also doing particularly well. Stellar (XLM) notched the biggest 30-day change with over one million shares purchased. The total assets under management amount to just under $42 billion, a truly astonishing feat for Grayscale, which has become popular quickly.

Morgan Stanley picks up more

This confidence from institutional investments is no small event, as more major players enter the market or double down on investments. A filing from the SEC shows that Morgan Stanley invested in over 900,000 shares in the Grayscale Bitcoin Trust. That amounts to over $27.5 million, which will be added to the Morgan Stanley Insight Fund.

Two more portfolios of the bank also added sizable shares to their respective funds, bringing the total purchased to over one million shares. Morgan Stanley is one of the biggest names yet to invest in the fledgling asset class, and will surely add some spice to the market. The firm invested in 28,000 shares back in June of this year.

Major firms like JPMorgan Chase and Goldman Sachs have begun dabbling with the crypto market. The former has begun offering crypto funds to wealthy clients, while Goldman Sachs has filed for a DeFi ETF application.

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