BTC volume under GBTC management has fallen by 50% in three months

So far, the fund retains its leading position in terms of the volume of savings

16.04.2024 - 14:05

2 min

What’s new? Bitcoin holdings in the accounts of the GBTC spot BTC exchange-traded fund (ETF) from Grayscale, an investment firm within the Digital Currency Group (DCG) conglomerate, have halved since the start of trading on January 11. Before the US Securities and Exchange Commission (SEC) approved spot bitcoin ETFs, GBTC operated as a bitcoin trust. The other funds from BlackRock, Fidelity, Bitwise, ARK Invest, and others were not launched until after the SEC’s decision.

Material by The Block

What else is known? Before the conversion, GBTC for a long time did not provide an opportunity to redeem shares, which were traded at a discount to the underlying asset. After the relaunch as a bitcoin fund, a management fee of 1,5% was set, which is significantly higher than the indicators of competitors. For example, IBIT from the world’s largest investment company BlackRock, currently leading the BTC ETF segment, asks for 0,12%.

At the start of trading on January 11, GBTC had 619 220 coins under management; by April 16, the figure had fallen to 311 621 coins worth $19,6 billion. GBTC still maintains its status as the largest asset owner among exchange-traded products, but IBIT is only $2,41 billion behind.

Considering that IBIT, unlike GBTC, shows a stable inflow of user assets, which has already reached $15,33 billion, it may take the leading position in terms of accumulation in the near future.

Investors withdrew $126 million from crypto derivatives over the week

Last month, the weekly inflow record was updated twice in a row

The combined assets of all US spot bitcoin ETFs in the United States approached 840 000 BTC, representing more than 4% of the total supply, programmatically capped at 21 million coins.

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