• Press Releases
    • Submit a press release
    • Read All
  • Advertise
  • Contact us
Crypto.com Logo Crypto.com Logo
Bitcoinist.com
No Result
View All Result
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • Gambling
      • Bitcoin Casinos
      • Real Money Slots
      • Online Casino Real Money
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
  • Industry
    • Industry News
    • Press Releases
  • Price
    • Bitcoin Price
    • Ethereum Price
    • Litecoin Price
    • Binance Coin Price
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
    • Bitcoin Casinos – Where, What and How to Play
  • Events
  • Play Games
  • Play Casino Games
  • Play Finance
Breaking News: Binance.US Takes Action Amidst SEC Complaint: Delists Over 40 Trading Pairs
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • Gambling
      • Bitcoin Casinos
      • Real Money Slots
      • Online Casino Real Money
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
  • Industry
    • Industry News
    • Press Releases
  • Price
    • Bitcoin Price
    • Ethereum Price
    • Litecoin Price
    • Binance Coin Price
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
    • Bitcoin Casinos – Where, What and How to Play
  • Events
  • Play Games
  • Play Casino Games
  • Play Finance
Bitcoinist.com
No Result
View All Result
Breaking News: Binance.US Takes Action Amidst SEC Complaint: Delists Over 40 Trading Pairs

Grayscale Bitcoin Trust Premium Sharply Rebounds: Could It Return to Positive?

San Lee by San Lee
2 years ago
in News, Bitcoin
0

Since February, Grayscale’s premier crypto fund Grayscale Bitcoin Trust (GBTC) has traded at a negative premium to its net asset value (NAV). GBTC, which has been the largest publicly-traded crypto fund available on the market, saw its historically high premium plummet as new competition weighed in. 

In the past, institutional investors had to accept GBTC’s sky-high management fees and punishing redemption periods because there simply were no alternatives.

But now, as a flurry of new Bitcoin exchange-traded funds hit the market in Canada, dozens of investment firms are following suit by filing their own in the United States. 

The three available Bitcoin ETFs in Canada — Purpose, Evolve and CI Galaxy — offer expense ratios of 1%, 0.75% and 0.40% compared to Grayscale’s 2%. 

Purpose Investments Bitcoin ETF and Evolve Fund Bitcoin ETF are both down -40% in the past 3 months, closely tracking the underlying (Bitcoin) price action. Source: Tradingview.com

According to data from on-chain analytics site Glassnode, Grayscale Bitcoin Trust’s premium to NAV sank to -21.73% on May 13, its lowest point in fund history. As a reference, GBTC was trading at a premium upwards of 30% at the beginning of the year. 

Related Reading: Grayscale Bitcoin Trust (GBTC) Premium Sinks to All-Time Lows 

With Canadian competitors taking up market share and U.S.  ETFs just on the cusp of approval, institutional inflows were drying up fast — leaving the fund’s premium at a massive discount until now.

Grayscale Bitcoin Trust Premium Shows Signs of Life: Light at the End of the Tunnel?

In early April, Grayscale announced its plans to convert GBTC’s fund structure to an ETF in hopes to remain competitive. The news sent the premium higher — albeit temporarily. 

But now, as Grayscale’s six month lock up periods expire, the fund’s premium to NAV has shot back up to -3.87%.

According to GBTC’s vesting schedule, a majority of its institutional investors are set to have their expiries complete by July. This would allow previously locked up investors to sell their positions accordingly — relieving the fund from the recent downward pressure. 

Glassnode data shows that the last significant inflow was on January 18 for approximately 16,243 BTC — roughly $6 billion at the price of BTC at the time. 

With no significant outflows left after mid-July and an ETF transformation on the horizon, Grayscale Bitcoin Trust could potentially see its premium to NAV return to positive in the near future. 

Featured image from UnSplash 
ShareTweetShareShare

Sign Up for Our Newsletter!

For updates and exclusive offers enter your email.

I consent to my submitted data being collected and stored.

San Lee

San Lee

Related Posts

Bitcoin

Bitcoin Investors Get Robust Returns In May – How Will Binance Lawsuit Affect Their Gains?

23 hours ago
Rare satoshis

Rare Satoshis: The Rising Star In Crypto After BRC-20 And Meme Coins?

2 days ago
Bitcoin Whale Shark

Bitcoin Sharks & Whales Have Bought 93,000 BTC Since April Top: Santiment

1 week ago
Bitcoin

BREAKING: Bitcoin Mining Industry Spared From 30% Tax In US Debt Ceiling Deal

1 week ago
Bitcoin

Bitcoin Taker Buy Sell Ratio At Highest Since Feb, What Does It Mean?

1 week ago
Bitcoin

Bitcoin Shrimps Continue Aggressive Accumulation As Holdings Hit ATH

1 week ago
Please login to join discussion

Premium Partners

Premium Casino Partners

Play Finance

Now Trending

  • Whale Power Unleashed: Mooky Emerges as the Rival Meme Coin...

    7 days ago
  • Exploring the Meteoric Rise of Mooky: Could It Be the Next...

    7 days ago
  • Discover the Next Big Thing: Mooky.io Presale Boasting Fair...

    7 days ago

Top Casinos

Trust Dice
Trust Dice
Punt Casino
Punt Casino
mBit
mBit
1xBit
1xBit
K8
K8

Press Releases

  • Price Prediction Shows Uwerx (WERX), Render (RNDR), And...

    7 mins ago
  • Rising Interest in TMS Network (TMSN), Cardano’s (ADA)...

    41 mins ago
  • AltSignals Presale Nears End of Phase One, Bringing in a...

    41 mins ago
  • Anticipated XRP (XRP) IPO Could Skyrocket to $600 Per...

    2 hours ago
  • DigiToad (TOADS) Stands tall against Dogecoin (DOGE) with...

    14 hours ago

Bitcoin news portal providing breaking news, guides, price analysis about decentralized digital money & blockchain technology.

Bitcoin

  • News
  • Price
  • Businesses
  • Acceptance
  • Technology
  • Investment
  • Regulation
  • Reviews

Altcoins

  • News
  • Price
  • Ethereum
  • Ripple
  • Litecoin
  • EOS
  • NAGA

Categories

  • Blockchain
  • Security
  • FinTech
  • Technology
  • Trending
  • Breaking News
  • Press Releases
  • How to

Pages

  • Contact us
  • Editorial Policy
  • Advertise
© 2023 Bitcoinist.com. All Rights Reserved.
  • Bitcoin
    • News
    • Price
    • Businesses
    • Acceptance
    • Technology
    • Investment
    • Regulation
    • Reviews
    • Gambling
      • Bitcoin Casinos
      • Real Money Slots
      • Online Casino Real Money
    • All Bitcoin News
  • Altcoins
    • News
    • Price
    • Ethereum
    • Ripple
    • Litecoin
    • EOS
    • NAGA
    • All Altcoin News
  • Tech
    • Blockchain
    • Security
    • FinTech
  • Industry
    • Industry News
    • Press Releases
  • Price
    • Bitcoin Price
    • Ethereum Price
    • Litecoin Price
    • Binance Coin Price
  • How to
    • Buy gift cards/mobile Top Ups with Cryptos
    • What Is Bitcoin?
    • Best Bitcoin Wallet
    • Bitcoin vs Ethereum
    • Why Use Blockchain Technology?
    • Bitcoin Cash ABC vs. Bitcoin Cash SV
    • How to Buy Cryptocurrency
    • Bitcoin Mining
    • Best Bitcoin Brokers
    • Best Bitcoin Forex Brokers
    • How To Earn Bitcoin
    • What is Facebook Libra?
    • Ripple and XRP: The Complete Guide
    • Bitcoin Casinos – Where, What and How to Play
  • Events
  • Play Games
  • Play Casino Games
  • Play Finance

© 2023 Bitcoinist. All Rights Reserved.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy Center or Cookie Policy.