GBTC Bitcoin numbers increase by almost 60,000

The number of Bitcoin in Grayscale Bitcoin Trust has increased by almost 60,000 BTC. Between 7 February and 17 May, the number of Bitcoin locked under GBTC rose from 2,83,192 to 3,43,954.

In fact, the rate of accumulation significantly increased after the collapse in March, and since the first week of April, Grayscale has bought almost close to 2/3 rd of all the newly minted Bitcoins, says a recent Reddit post.

Experts have speculated that such accumulation could play a positive role in Bitcoin’s price, but that might not be the case all the time as owning Bitcoin through GBTC is not exactly owning Bitcoin. A major disadvantage of investing in GBTC is the fact that traders end up paying high premiums and annual fees that are associated with the overall turbulence in the market.

The affinity to Grayscale can largely be associated because it is a one-of-a-kind investment firm for Bitcoin, but considering the functionality of GBTC, it might not necessarily have a positive or direct effect on Bitcoin’s price, whereas any changes in Bitcoins’ price directly leads to a major difference in GBTC’s holdings.

Subscribe

Related articles

Binance Eyes Indian Comeback: Registers with FIU and Commits to Compliance

Cryptocurrency titan Binance, embroiled in a ban by India's...

Kraken Unchains Crypto: Launches Versatile Self-Custody Wallet

Kraken, a leading player in the cryptocurrency exchange market,...

Justin Sun’s Tether Tsunami: $196 Million Moves to Binance

Justin Sun, founder of Tron blockchain, recently made headlines...

Worldcoin Steps Up: A New Blockchain for Human-Centric Web3 Innovation

Worldcoin is making waves in the cryptocurrency sphere with...

LEAVE A REPLY

Please enter your comment!
Please enter your name here