Average price of 2780, Nasdaq-listed company Mogo buys Ethereum, Grayscale plans to increase holdings of $750 million GBTC

Nasdaq-listed company Mogo announced the purchase of 146 Ethereum, in addition to its existing holdings of Bitcoin. The company plans to allocate 5% of its cash and investment portfolio to cryptocurrencies going forward. Furthermore, Grayscale Investments also plans to further increase its holdings of its Bitcoin fund, GBTC.

Mogo Announces Purchase of Ethereum

According to a press release, NASDAQ-listed company Mogo (NASDAQ: MOGO) announced the purchase of 146 Ethereum at an average price of $2,780. The company had previously invested in Bitcoin, purchasing 18 Bitcoins at an average price of $33,083.

Mogo recently closed its investment in financial data solution Vena Solutions for $4.7 million, with some of the funds potentially being allocated to the cryptocurrency sector.

Mogo CFO Greg Feller stated:

The initial purchase of Ethereum complements our existing investment in Bitcoin and reflects our belief in the long-term potential of blockchain technology and its role as a core platform for the next generation of financial technology.

Ethereum recently surpassed the $3,000 mark and reached a historic high of $3,457 on 5/4. Meitu Group had previously purchased $50.6 million worth of Ethereum in March, making Mogo the second publicly listed company to announce holding Ethereum.

Grayscale Plans to Increase GBTC Holdings

Since the end of February this year, Grayscale's GBTC has been continuously trading at a discount, reaching a historic low of -18.92 on the 23rd, prompting Grayscale's parent company Digital Currency Group (DCG) to announce on 3/10 that they would allocate up to $250 million of their cash reserves into GBTC.

As of 4/30, Grayscale had invested approximately $193.5 million, and according to their announcement, Grayscale plans to increase the purchase limit to $750 million, allowing them to potentially acquire an additional $557 million worth of GBTC.

The discount on GBTC has slightly improved recently with the market recovery and Bitcoin rebound, currently standing at 13.51%.

Despite the increase in investment limits, the announcement emphasizes that Grayscale is not obligated to purchase a specific amount of GBTC at any given time, with the actual timing and amount depending on the company's cash position, GBTC price, and market conditions.