Grayscale’s market value has surpassed that of $50 billion lately. This amount is the same as the world’s second-biggest commodity ETF (Exchange Traded Fund).
Grayscale is a major U.S wealth manager that has recently reached a whopping $50 billion in cryptocurrency funds under administration for the very first time. As we speak, Grayscale’s AUM is fast approaching the $57 billion holdings mark of the biggest asset ETF.
ETF conversion will take place as regulations permit
As regulations permit, the corporation intends to turn into an ETF. This is also tactical as governments all over the world have been implementing various strict regulations when it does come to cryptocurrency, especially now that the popularity of the industry is at an all-time high.
Grayscale would be the second-largest asset ETF at this very moment if it had already been authorized, behind only SPDR Gold Shares. GLD is a gold-backed ETF that trades on stock markets in Mexico, Hong Kong, Singapore, the United States, and Japan.
Grayscale CEO Michael Sonnenshein had tweeted that the Grayscale Bitcoin Fund, more commonly referred to as GBTC, is on track to outperform the GLD fund in terms of market capitalization in the coming months.
Grayscale trading with multiple cryptocurrencies
Grayscale additionally offers institutional investors blockchain exposure and currently owns roughly 660K BTC overall, representing 3.5% of Bitcoin’s 18.7 million circulating supply. Grayscale’s Bitcoin Trust holds almost 655K of these.
Grayscale does not only trade with Bitcoin as almost 20% of the company’s AUM is distributed around a dozen other cryptocurrencies, such as Ethereum ($7.4 billion), Litecoin ($405 million), Ethereum Classic ($267 million), as well as Bitcoin Cash ($234 million). Furthermore, five new trusts were also formed within the previous month, those being Decentraland’s MANA ($18.6 million), Basic Attention Token ($4.8 million), Filecoin ($7.7 million), Livepeer ($13 million), and Chainlink ($4.5 million).
The company is now the biggest digital asset holder in the United States by a wide margin, with Pantera, the second-biggest manager, having just $4.3 billion, which is less than 1/10th of Grayscale’s $50 billion.
This week, the asset manager had also announced a collaboration with TIME Magazine for the purpose of creating a series of various educational films about cryptocurrency. The magazine has even decided to accept Bitcoin as payment for its services and will also be officially listing the cryptocurrency on its balance sheet for the very first time in its history.