Grayscale Bitcoin Trust Trades Increased 5 Times

GBTC trading volume conducted by Grayscale increased by 400 percent. The amount increased from just over 16 million to 80 million. This is reported by the publication The Block.

What influenced the growth of trading

The publication commented that experts observe positive expectations for the approval of the BlackRock initiative. Thanks to this, it is possible to simplify the situation for the company, since it wants to convert the product into a stock exchange.

In the fall of 2021, the company sent an application. In mid-December, the SEC decided not to make a decision on it, postponing it for a later time. At the end of the winter of 2022, the decision date was postponed again. Therefore, the company filed a lawsuit against the agency because of the negative response.

Bloomberg specialist, James Seyffart, noted that with the likely approval of the application, BlackRock will become a threat to the valuation of the GBTC asset. It's also possible the commission is probably putting pressure on him. At the same time, he noted that if the conversion of a bitcoin trust into an ETF takes place, then users may begin to withdraw their assets.

According to the publication, since this year the company has been able to earn about $ 230 million on the ETF. On average, 2-2.5 percent are paid for product management. The total amount of assets is more than $23 billion. This also includes GBTC — more than $ 17 billion.

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