This week cryptocurrency proponents discussed the firm Grayscale Investments, as the firm purchased 9,702 bitcoins (over $110 million) in the past five days. The news follows Grayscale informing the U.S. Securities and Exchange Commission (SEC) that the Bitcoin Trust (GBTC) grew over $1.6 billion in 2020.
Last Friday, Grayscale Investments filed a quarterly report with the SEC detailing that the firm’s Bitcoin Trust (GBTC) has increased significantly in value. The filing notes that the trust increased in value by over $1.1 billion as of June 30, 2020, from over 125,000 BTC to 387,000 BTC.
June 30 exchange rates show the company’s assets under management (AUM) were valued at $3.5 billion. “The Trust determined the fair value per Bitcoin to be $9,134.09 and $7,145.00 on June 30, 2020,” explains the SEC filing.
In addition to the recent SEC filing, crypto observers have watched Grayscale obtain a massive amount of bitcoin (BTC) during the last five days. On Reddit, an observer explained that Grayscale purchased 5,973 BTC (over $68 million) a few days ago.
After that purchase, the crypto enthusiast noticed the company obtained another 3,729 bitcoins ($42 million) two days after the $68 million purchase.
The recent purchases add 9,702 bitcoins ($110 million) to the trust’s stash, which indicates Grayscale’s Bitcoin Trust is a whopping 401,385 BTC (AUM) or $4.6 billion using today’s exchange rates. Of course, the discussion on Reddit about Grayscale’s recent purchases spurred a lot of speculation.
A number of bitcoiners couldn’t agree on how the crypto assets were actually purchased. “Judging by the lack of impact on the price, I’m going to guess they bought a cash-settled futures contract rather than actual bitcoins,” one Redditor wrote.
A few other individuals were in complete disbelief that Grayscale bought that many coins, as it didn’t seem to affect spot market prices. Most people…