Grayscale Dumps $2.14 Billion in Bitcoin Holdings
In an unexpected move, Grayscale Investments, the force behind the Grayscale Bitcoin Trust (GBTC), has reportedly shed a massive $2.14 billion worth of Bitcoin (BTC).
This surprising sell-off follows the recent approval from the United States Securities and Exchange Commission (SEC) for spot Bitcoin ETFs.
According to the #Grayscale website, #Grayscale currently holds 566,973 $BTC($23.21B), decreasing ~52,227 $BTC ($2.14B) since the ETF was passed.
And iShares(Blackrock) holds 33,431 $BTC($1.37B), Fidelity holds 24,857 $BTC($1.02B), Bitwise holds 10,152 $BTC($415.6M). pic.twitter.com/fx2Kj3WpSB
— Lookonchain (@lookonchain) January 22, 2024
According to findings from Lookonchain, a leading cryptocurrency analytics platform, Grayscale has reduced its Bitcoin holdings by approximately 52,227 BTC, translating to $2.14 billion, since the SEC’s nod to spot Bitcoin ETFs earlier this month.
Currently holding 566,973 BTC valued at $23.21 billion, Grayscale’s move is significant. In comparison, iShares (BlackRock) holds 33,431 BTC ($1.37 billion), Fidelity has 24,857 BTC ($1.02 billion), and Bitwise maintains 10,152 BTC ($415.6 million).
This strategic shift by Grayscale is noteworthy, especially amidst the recent SEC approvals for various spot Bitcoin ETFs. Key players like ARK Invest, BlackRock, VanEck, WisdomTree, Fidelity, Invesco, Franklin Templeton, Bitwise, and Valkyrie have secured approval.
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Grayscale Investments also got the green light to convert its $28 billion Bitcoin trust into the GBTC spot ETF, marking a significant industry change. The crypto community is buzzing with speculation about Grayscale’s decision. Analysts suggest the approval of spot Bitcoin ETFs may have triggered Grayscale’s move to strategically reposition assets, capitalizing on growing institutional interest.
Meanwhile, Bitcoin’s market momentum seems sluggish, with the current price at $40,955, reflecting a 1.73% decrease in the last 24 hours and a 5.90% decline over the past 30 days. Grayscale’s substantial Bitcoin sell-off, combined with market dynamics, raises questions about potential impacts on Bitcoin’s overall valuation and the strategic positioning of major institutional players in the evolving crypto landscape.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
