OVER 25,000 BTC Purchase via Grayscale Bitcoin Trust: A Good News or Bad?

As recorded, up to 26,000 Bitcoins was bought by people through just GBTC — Grayscale Bitcoin Trust — only in last 4 months. The question mark here is that these coins are locked for one year.

While this might be a great news for the Bitcoin community, don’t you think such an enormous BTC transfer might affect the crypto ecosystem when you consider the price shifts?

Below are some of the figures which show how much of Bitcoins are being bought by people through institutional investors. GBTC can only be bought by institutional investors, which means people buy it through their 401k etc.

It is worthy to note that in 2019, more than $400 million worth of BTC was bought from GBTC. And all these coins have a 1 year lock in period. The effect?

This is the one reason the price of a Grayscale Bitcoin Trust BTC shares is much higher than simple market price of just BTC.

Don’t miss : How to Trade on Bybit Crypto Exchange + FREE $90:

Here are detailed figures for number of bitcoins held in this single trust, with latest number at last row:

Do you think the lock in period won’t affect someone wanting to just trade GBTC, or was this the reason for BTC at $10,000 before falling back?

More Read: How to Connect & Use the Top Exchange API Keys for Cryptocurrency Trading

Source code — Casterlycoin

--

--

--

Top Quora Writer on Cryptocurrency, Blockchain, Bitcoin and Altcoins.

Love podcasts or audiobooks? Learn on the go with our new app.

Recommended from Medium

5 Cryptocurrencies to watch in 2018

How to buy ANY Cryptocurrency! (Beginner-Friendly)

The Weekly Hash, 2/9/21: Bitcoin surges, aided by Tesla’s adoption

Olympus Explained — How to Stake, Bond and Zap

Can digital assets ever be investment-grade?

Bitcoin hits ATH! $20,000+! Where to Sell or Buy? Top 5 Best exchanges December 2020

A Deep Dive into Seascape’s Tokenomics

Insight | imToken supports the upcoming Ethereum update (Constantinople)

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Isuamfon (IwillTeachUCrypto)

Isuamfon (IwillTeachUCrypto)

Top Quora Writer on Cryptocurrency, Blockchain, Bitcoin and Altcoins.

More from Medium

SUSHISWAP: COMPREHENSIVE REVIEW AND GUIDANCE

February 27th 2022, Gold Chartbook — Strong reversal should lead to another leg up

Stock Market evasion

President Nayib Bukele Announced That 44 Countries Will Join The Bitcoin Discussion in El Salvador…