ETHE Holds 2.5% Of Ethereum’s Total Circulating Supply As Grayscale AUM Hits A Record $13B
Digital asset manager Grayscale’s AUM has reached a new record of $13 billion.
Barry Silbert, the founder, and CEO of Digital Currency Group, the parent company of Grayscale, took to Twitter to share that in just one and a half months, its assets under management (AUM) had surged by over 70%, from $7.6 billion on Nov. 1st.
Grayscale’s AUM has also jumped a whopping 465% from the beginning of the year when it was around $2.3 billion.
Record AUM for Grayscale…$13 billion https://t.co/bSFF7Jtimb
— Barry Silbert (@BarrySilbert) December 14, 2020
Grayscale’s Bitcoin Trust has been attracting tons of new investors throughout this year, which led its BTC holdings to grow from about 261k BTC in January to 565k BTC. Just last week, GBTC added another approximately 3,900 BTC which brings its holdings to 3% of the total circulating supply of Bitcoin, as per Bybit.
The growth of Grayscale Ethereum trust has been even more impressive as from under 0.5 million ETH at the beginning of the year, it is now approaching 3 million ETH. With 2.94 million ETH, ETHE’s holdings now sit at 2.5% of the total circulating supply of the second-largest cryptocurrency.
All of this growth has been thanks to the explosive institutional adoption of Bitcoin and other cryptos. From legendary investors like Stanley Druckenmiller, Paul Tudor Jones, Bill Miller, and companies like MassMutual, everyone is jumping into Bitcoin.
As such, not just the biggest digital asset manager but others are also seeing growth.
“MicroStrategy opened the door for corporate allocation and MassMutual opened the door for insurance allocation,” said Lyn Alden, founder of Lyn Alden Investment Strategy. “Happening pretty quickly, but yes I wouldn't be surprised to see small allocations show up in more institutional portfolios.”