Grayscale Investments Increases Its Bitcoin Holdings to 2.4% of Current Supply September 29, 2020 September 29, 2020 Kelly Cromley http://1AZFjzw2#Nwf63pYaMWq#xIY
Bitcoin NewsSeptember 29, 2020 by Kelly Cromley

Grayscale Investments Increases Its Bitcoin Holdings to 2.4% of Current Supply

In the past one week, Grayscale Investments, a fund focused on cryptocurrencies, has boosted the assets under administration by its Bitcoin Trust by over $180 million. As per data provided by Bybt, Grayscale’s Bitcoin Trust bought 17,100 Bitcoin (BTC) in the past seven trading days.

Including this, the fund now owns 449,900 Bitcoins, worth approximately $4.90 billion, under its administration. Bitcoin, which was trading at about $10,700 at the time of writing this article, had closed above $10,000 per day for the past 63 days.

This actually implies Grayscale controls about 2.40% of overall Bitcoin supply, which is 18,502,381, as per data provided by CoinMarketCap. There is only about 2.50 million (or ~11.9%) Bitcoin remaining to be mined as the total supply has a cap of 21 million.

Even if Grayscale stops buying Bitcoin, still, it will have control over 2% of all Bitcoins after the final block is mined.

Similar to Grayscale, business intelligence firm MicroStrategy has used over $400 million of its surplus funds to purchase Bitcoin. MicroStrategy has accumulated 38,250 Bitcoins since the company initially bought Bitcoins in August. Still, the quantity it holds is roughly one-tenth of Bitcoins held by Grayscale.

In a tweet dated September 15, Barry Silbert, CEO of Grayscale, humorously stated that the two firms are in a Bitcoin “buying race”:

Nevertheless, token holders need not be concerned about Grayscale buying Bitcoins at a rapid pace than it is mined. The major share of Bitcoins bought by the fund is from the existing liquidity pool. The firm calls such purchases as “in kind” exchanges.

The fund disclosed that it owns assets worth $5.80 billion, at the end of September 25. This includes assets owned by all of its crypto Trusts, including Ethereum (ETH), Bitcoin Cash (BCH), Ethereum Classic (ETC), Horizen (ZEN), Litecoin (LTC), Stellar Lumens (XLM), XRP, and Zcash (ZEC).

AuthorKelly Cromley

Kelly is our in house crytpto researcher, delving into the stories which matter from blockchains being used in the real world to new ico coming out.