Buying sixty thousand in three months! Grayscale has consumed 34% of Bitcoin production in the past hundred days

Over the past 100 days, the number of bitcoins held in the Bitcoin Trust Fund (GBTC) under the American digital asset management company Grayscale Investments has increased by over 60,000, accounting for approximately 33-34% of the total bitcoins mined in the past 100 days.

GBTC Fund Size Sees Significant Growth

Grayscale Investments is a U.S.-based digital asset management company that aims to provide compliant cryptocurrency financial products to institutional investors. The company currently offers products such as GBTC, ETCG, and ETHE. Among these, GBTC has the largest fund size at $3.3 billion, making it the most mainstream bitcoin security on the market.

According to statistics shared by Reddit user parakite on the cryptocurrency discussion board, the total number of bitcoins managed by Grayscale's GBTC has reached 343,954, with an increase of 60,000 bitcoins in just the past one hundred days. This quantity represents approximately 33-34% of the bitcoins produced in the past one hundred days.

Furthermore, Grayscale's first-quarter report released at the end of March indicates that as of the end of March, the amount of bitcoins managed by GBTC accounted for approximately 1.7% of the circulating bitcoin supply. However, this percentage has increased to 1.87% in less than two months since then.

Contributes to the Increase in Bitcoin Spot Prices

GBTC itself is a "closed-end trust fund," meaning that the bitcoins held in GBTC are actually separated from the spot market. To meet the growing demand, Grayscale acquires bitcoins from the market and issues more GBTC shares to investors, reducing the circulating supply of bitcoins in the market. The increasing amount of bitcoins held by GBTC also indicates a growing interest in bitcoin among institutional investors, as most GBTC investors come from traditional financial institutions.

The growth of GBTC signifies a continuous increase in demand from institutional investors. Simultaneously, the circulating supply in the spot market decreases due to Grayscale's acquisitions, which undoubtedly provides bullish support for the market price of bitcoin.

Ethereum Trust Fund Equally Attractive

In addition to GBTC, Grayscale's Ethereum Trust Fund (ETHE) has also been growing steadily. On January 27, the total number of Ethereum managed by ETHE was 500,000.

By May 18, the fund size had grown to approximately 1.25 million Ethereum.With an average daily increase of over 6,000 Ethereum, during this period, about 50% of the Ethereum issued was acquired by Grayscale, a higher percentage than bitcoin. This shows that institutional investors are not only interested in bitcoin but also consider Ethereum as a strategic investment choice.

Further Reading

• Institutional Investors Still Here! Record Inflows for the World's Largest Bitcoin Trust Fund
• Fund Inflows Surpass Total of Past 5 Years, GBTC Bitcoin Trust Fund Breaks New Ground

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