Grayscale Investments’ Bitcoin Investment Trust (GBTC) has finally recorded its first day of net investment since the launch of competing Bitcoin exchange-traded funds (ETFs) in January. This comes after a period of significant outflows exceeding $17.5 billion.
GBTC is a trust that allows investors to gain exposure to Bitcoin without directly purchasing the cryptocurrency. However, unlike ETFs, GBTC shares trade at a premium or discount to the underlying Bitcoin price.
The launch of physically-backed Bitcoin ETFs in the US earlier this year provided investors with a more transparent and potentially cheaper way to invest in Bitcoin, leading to outflows from GBTC.
This recent inflow suggests a potential shift in investor sentiment. It’s possible that some investors view GBTC’s discount as an opportunity, or they may prefer the structure and regulatory oversight of a trust compared to an ETF.
Analysts will be closely monitoring GBTC to see if this is a one-time event or the start of a new trend.
Grayscale Investments’ Bitcoin Investment Trust (GBTC) has finally recorded its first day of net investment since the launch of competing Bitcoin exchange-traded funds (ETFs) in January. This comes after a period of significant outflows exceeding $17.5 billion.
GBTC is a trust that allows investors to gain exposure to Bitcoin without directly purchasing the cryptocurrency. However, unlike ETFs, GBTC shares trade at a premium or discount to the underlying Bitcoin price.
The launch of physically-backed Bitcoin ETFs in the US earlier this year provided investors with a more transparent and potentially cheaper way to invest in Bitcoin, leading to outflows from GBTC.
This recent inflow suggests a potential shift in investor sentiment. It’s possible that some investors view GBTC’s discount as an opportunity, or they may prefer the structure and regulatory oversight of a trust compared to an ETF.
Analysts will be closely monitoring GBTC to see if this is a one-time event or the start of a new trend.
