Tag: Grayscale’s

Grayscale’s GBTC Could See Another $1.5B in Sales From Arb Traders: JPMorgan

Bitcoin[BTC)hasdroppedover15%sincetheinaugurallaunchofspotexchange-tradedfunds(ETFs)lastweekwithseveralbillioninassetsflowingoutofGrayscale’sGBTCWhileachunkofthosebillionshasbeenfrominvestorsmovingtolowerfeeETFsandanotherchunkfrominvestorstakingprofitsonGBTC’s(andbitcoin’s)absolutepriceriseatleastsomeofthatmoneyisduetotradersexitingwhat’slikelybeenaveryprofitablebetthatGBTC’sdiscounttonetassetvalue(NAV)wouldnarrow[BTC)hasdroppedover15%sincetheinaugurallaunchofspotexchange-tradedfunds(ETFs)lastweekwithseveralbillioninassetsflowingoutofGrayscale’sGBTCWhileachunkofthosebillionshasbeenfrominvestorsmovingtolowerfeeETFsandanotherchunkfrominvestorstakingprofitsonGBTC’s(andbitcoin’s)absolutepriceriseatleastsomeofthatmoneyisduetotradersexitingwhat’slikelybeenaveryprofitablebetthatGBTC’sdiscounttonetassetvalue(NAV)wouldnarrow “It looks like GBTC investors who over the past year had been buying the GBTC fund at a significant discount to NAV to position for its eventual ETF conversion,….