Grayscale Holds Over 3% of Bitcoin, Sees Pension-Fund Interest

Discussion in 'Wall St. News' started by Daal, Jan 7, 2021.

  1. Daal

    Daal

    https://www.bloomberg.com/news/arti...tcoin-sees-pension-fund-interest?srnd=premium

    “We’ve started to see participation not just from the hedge fund segment, which we’ve long seen participation from, but now it’s recently from other institutions, pensions and endowments,” Michael Sonnenshein, who was named successor to founder Barry Silber on Thursday, said in an interview. “The sizes of allocations they are making are growing rapidly as well.”
     
  2. I'd be reluctant to buy GBTC at a 33% premium to nav. They need to issue more shares and buy more coins.

    Meanwhile the futures have 15% annualized contango because people are so desperate to get bitcoin exposure while the SEC is still dragging its feet on approving a real bitcoin ETF.

    Holding spot bitcoin is best because you don't have to pay that 15%-30% extra.
     
  3. Daal

    Daal

    These institutions are getting into GBTC through private offerings, they are not paying any premium
     
  4. Where do I sign up to get GBTC for no premium and then immediately flip it for 30%?
     
  5. Also, why would it even be legal for GBTC to issue new shares so far below market price?
     
  6. BKR88

    BKR88

    Private placement eligibility:
    1-Need to be an accredited investor. (net worth > $1 mil or > $200K earnings past 2 years .... U.S.)
    2-Must hold for at least 6 months.
     
    Last edited: Jan 7, 2021
  7. Fair enough. I'm an accredited investor.
     
    BKR88 likes this.
  8. ZBZB

    ZBZB


    The Grayscale® Bitcoin Trust private placement is offered on a periodic basis throughout the year and is currently closed.
     
    BKR88 likes this.
  9. BKR88

    BKR88

  10. I understand the premium -- I trade GTBC in my IRA. It's not perfect but it works.

     
    #10     Jan 7, 2021