Grayscale’s Q1 2024 Earnings Take Hit amid Bitcoin ETF Outflows
GBTC’s high management fees at 1.5% continue to hurt Grayscale as revenue of the firm remained flat in Q1 amid high redemptions from Bitcoin ETF.
Barry Silbert has announced that his Bitcoin Investment Trust went public on OTCQX exchange, thus becoming the first publicly traded bitcoin fund.
GBTC’s high management fees at 1.5% continue to hurt Grayscale as revenue of the firm remained flat in Q1 amid high redemptions from Bitcoin ETF.
Earlier this week, GBTC recorded daily net inflow after a very long time of constantly seeing outflows.
Despite Grayscale GBTC holding the largest BTC reserves, the BlackRock Bitcoin ETF IBIT remains the top choice of institutions.
The daily trading volume of the US spot Bitcoin ETFs has significantly declined since March.
The recent influx of $63 million offers a glimmer of hope for the Grayscale Bitcoin Trust. This positive trend coincides with a broader upswing in the cryptocurrency market.
The total April net outflows of $343.5 million has successfully broken the three months of consecutive inflow streak for the spot Bitcoin ETFs.
Despite these recent outflows, the accumulated total net inflows for the US-listed spot BTC ETF products stand at nearly $60 billion.
BNY Mellon filed form 13F-HR on April 25 with the US SEC and disclosed that it holds shares of GBTC and IBIT.
The much-anticipated Bitcoin halving event on April 20 was expected to trigger a price surge but failed to deliver the anticipated impact. Instead, Bitcoin saw a subsequent 15% drop.
In an attempt to reverse its fortunes, Grayscale revealed its plan to launch an innovative low-cost version of its GBTC fund named “Grayscale Bitcoin Mini Trust” with just 0.15% fees.