Cryptocurrency

Buy Bitcoin? – Grayscale buys for 185 million dollars in BTC in the last 7 days

We have already reported several times in the past about the fact that Grayscale accumulated massive Bitcoin battery. This shows that the investment company is currently a key factor for the scarcity of BTC. Because of the fact that they regularly buy the newly mined Bitcoin, a real shortage of supply, which comes on the market.

In this article we want to take a look at it, the Dimension in which the Grayscale Bitcoin Trust is moving and thus how many Bitcoin of the investment company are purchased.

Buy Bitcoin: Grayscale buys nearly 20,000 BTC in 7 days

The Basis of our report is a recent Tweet from Kevin Rooke. From this Tweet shows that Grayscale for your own product, the Grayscale Bitcoin Trust, bought alone in the last 7 days, nearly 20,000 Bitcoin. This corresponds to the current time, a counter value of approximately 185 million US dollars.

The Figures are impressive, as that of the Grayscale Bitcoin Trust (GBTC) now handles a volume of nearly 400,000 BTC.

In addition to the pure quantitative Numbers are already impressive, in addition, other aspects, in the introduction to the indicated subject of the offer plays an important role in this. Because in the last week just 7081 BTC have been produced. This shows already now to buy the thirst of Grayscale Bitcoin, the weekly re-produced or provided significantly exceeds.

In other words: If Grayscale buys in a comparable pace the Bitcoin, then this demand can be satisfied only by the fact that there are parties outside of the Miner, who are ready to sell your Bitcoin. In this respect, Grayscale supports the Narrative of the scarce and rare crypto-currency Bitcoin very well.

Institutional investors see BTC as a Hedge

Of course, there is another aspect. Namely, the answer to the question, who buys in Grayscale is actually Bitcoin. The answer to this, the institutional investors is:.

In this context, a significant increase in demand from institutional investors is, in fact, within the last few weeks. Grayscale self-justified this increased demand with the desire of large hedge to be able to Fund buy Bitcoin. This, in turn, BTC see as a Hedge (=hedge) against Inflation and the increase in the money supply.

So, we can summarise the following: Grayscale buys more Bitcoin than is actually being produced. The Grayscale requested quantity exceeds alone the produced range by a factor of almost 3. Sustainable this leads to a significant shortage of supply. The increased demand comes from institutional investors, the buy Bitcoin in order to be against the current monetary policy measures covered.

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How would you rate the high demand on the part of Grayscale and associated purchases of BTC?

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About the author

Eve Manning

Eve Manning

A native Texan, Eve first started out as a Finance Analyst and later realized that her true passion was not in trading but in writing. She leverages her experience in the Finance industry to analyse and write in-depth news articles covering the Cryptocurrencies, Economy & Finance industries.

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