Grayscale Piles Billions into Crypto This Week, Adds to its BTC, ETH, LTC, ZEC, XLM, & ZEN Trusts
The rising prices of digital assets and the firm's increased holdings have Grayscale’s AUM poised to hit $30 billion.
Grayscale Investments, the world’s largest asset manager, had $26 billion in assets under management (AUM) as of Feb 1, 2021, which has now increased to $29.6 billion. This jump in AUM is the result of rising prices and the increased holdings of the firm.
In February alone, just the last three days, that is, Grayscale invested billions of dollars into different crypto assets. Ethereum Classic (ETC), a fork of ETH, is the only crypto asset that hasn’t been bought by Grayscale this week.
The digital asset manager bought 643.44k BTC this week, which brings its total Bitcoin holdings to just under 650k. Grayscale’s 649.13k BTC stash now represents 3.48% of Bitcoin’s circulating supply.
The premium on GBTC has also risen back over 10% after briefly going negative over the past weekend.
After opening its Ethereum Trust (ETHE) last week, Grayscale has since then added 71.8k more ETH to its holdings that brings it to a total of 3 million ETH, which is over 2.6% of Ether’s circulation supply.
During this period, the company only added 356.55 BCH and now holds 268.3k BCH.
As for Litecoin, Grayscale purchased just over 50k LTC. The asset manager holds nearly 2% of LTC supply for its predominantly institutional clients. Interestingly, its LTCN product has the highest premium among all the products at nearly 1,700%. Over the last two months, this premium has come down drastically, as back in late November, it was more than 3x of the current premium.
Grayscale also continues to add ZEC occasionally; this time, it purchased 75k ZEC. It has been doing so once a month.
The same is the case for XLM, but the firm purchased 29.29 million of it. But even with 56.45 million XLM in its holdings, it only represents 0.25% of XLM’s circulating supply.
43.74k ZEN tokens were also purchased on Feb. 2nd.
In 2021 so far, of all the crypto assets Grayscale supports, Horizon is the best performing with a 207% upside, followed by Ether, which is up 126% after hitting a new ATH at $1,700.
Bitcoin is only up 27%, Bitcoin Cash 25%, and Litecoin 18%. ZCash has managed to surge 62%, but it is still 98.5% from its ATH.