By
Benjamin Njiri
April 23rd, 2024
According to a statement on the firm’s Twitter account on July 28, Grayscale currently has $5.1 billion in crypto funds under management.
Grayscale Investments‘ crypto assets under management have increased by a massive $1 billion in just 11 days. Assets under management, sometimes called funds under management refer to the total investments or assets that a company or individual manages for clients or themselves.
Grayscale’s total Bitcoin Trusts boast of a total of $4.3b assets under management. This increase has been reported to be as a result of “in kind” purchases. This is because the most recently purchased digital currencies are as a result of cryptocurrencies in circulation rather than newly mined blocks.
Grayscale Investments’ Crypto Assets under Management
According to a statement on the firm’s Twitter account on July 28, the company currently has 5.1 billion in funds under management. The assets are mainly made up of trusts in Bitcoin (BTC) and Ethereum (ETH). They hold the largest assets under management for the firm’s trusts. These digital currencies are followed by the firm’s digital large cap fund which holds four times the firm’s total Bitcoin Cash trust.
07/28/20 UPDATE: Net Assets Under Management, Holdings per Share, and Market Price per Share for our Investment Products.
Total AUM: $5.1 billion$BTC $BCH $ETH $ETC $ZEN $LTC $XLM $XRP $ZEC pic.twitter.com/x1gkDYuUZ3
— Grayscale (@Grayscale) July 28, 2020
On July 17, the company had $6 million in its Bitcoin Cash Trust. This has doubled to 12.8m. The firm added $782m, $174m, $12.7m and $6.7m to its Bitcoin Cash Trust, Ethereum Trust, Ethereum Classic Trust and Litecoin Trust respectively. However, Grayscale’s Stellar Trust took a plunge from $600000 to $500000.
On June 19, Grayscale purchased 19,879 Bitcoin and has not made any purchase since then. This is the last purchase filed with the Securities and Exchange Commission (SEC) of the United States. The heavy purchase on that single day was an indication that the company was making “in kind” exchanges since it was more than the newly mined blocks.
The firm stated that 80% of its BTC trust in the third quarter of 2019, came from Bitcoin in circulation. Only about 20% was gotten from recently mined tokens. According to Grayscale, these purchases are “in kind” exchanges.
Focus on Bitcoin
Ryan Watkins of Mesari observed that Grayscale was most likely purchasing only 31% of newly mined Bitcoin since May 11. He also stated that the company was not purchasing any new Ethereum at all.
Recently, the United States’ regulatory authority has confirmed that Grayscale is ready to put shares of its BTC and LTC on the OTC markets. The stocks will be traded as BCHG and LTCN respectively.