Topic: Everything you wanted to know about Grayscale BTC Trust but were afraid to ask! - page 40. (Read 17264 times)

Apparently Grayscale bought another $300 milllion in Bitcoin according to this article. I think it is referring to Wednesday as it says this happened in the past 24 hours. But anyway In just two days this week (Monday and I guess Wednesday) Grayscale has bought $900 million in btc. Which means they are very likely at over a billion dollars so far this week when you throw Tuesday in there as well. They did about 2.8 billion in Bitcoin the entire last quarter, so they are about half way to that number this quarter just in their first week or so of buying! Institutional demand for Bitcoin is soaring! 2021 is gonna be crazy for price appreciation!

Article mentioned: https://www.fxstreet.com/cryptocurrencies/news/grayscale-buys-the-bitcoin-dip-again-as-the-worlds-largest-asset-manager-prepares-to-invest-in-btc-futures-202101210332

I read this nice article that was around lately:

Grayscale Trust and ‘The Effect’ on Crypto Prices

It's a nice read, I do recommend it.

The author focus on the way the accredited investors can leverage their access to the primary market to cash in the premium embedded in the secondary market, using the proceeds of this to "rinse and repeat", each time increasing the  buying pressure on the fund.


This is the crucial passage:


and



The hypothesis, ad the article also provide some loose proofs about that, is that an investors looks to reinvest the proceeds of the premium cash in again in GBTC shares, so there is a forced buying around expiry of locks in as they are either harvesting BTC for an In-kind subscription, or they give the dollars to GBTC that buys BTC in his sown to hedge their exposure.
Just notable to remember here, and I think that I wasn't mentioned in the article, that every GBTC interaction do not constiture a taxable event if the proceeds are kept inside GBTC and not cashed out. This of course is an heavy incentive for the investors to repeat this little trick.


The article inform us that the next big lock.-in expiry is February 2.



Source

Can you see how February compares to June? or July?
February end of lock period is related to buys in July 2020. This is NOTHING compared to the buys in 20Q4 year, as you can see, that will result in end of 21Q2 end of lock-ins.

Thank you and I will check it.

Nope. No one invests in a period is different than a closure of fund subscriptions for investors. No one invest can be an indicator for lack of interest in bitcoin investment, as consequence of FUD, massacre on the market, whatsoever.

You should be careful when you are interpret charts like this. Dates on a chart can be chosen to display on daily, weekly, bi-weekly basis, but the chart can be daily or weekly. They are different charts even the range you see is for every 2 weeks. Moreover, dates on chart are not exactly for every 2 weeks, anywhere from 2 weeks to 3 weeks.

I see the dates on chart but don't know the spreadsheet so that I asked the question.

In addition, I only asked about the zero or nearly zero inflow days.

The grayscale team game from the middle of the nowhere!! 
Anyways not my business but they should name themselfes " Great Gstsby " Instead of Grayscale

But yea hh  nobody not heard nothing about them
The micheal sonnershein is very strange person yet very successful...  What was so special he was studying in university? 
To run this grayscale anyone can do it all you need is just a lot of money!! 

Nothing impressive to me!
Even coinbase wich is lame scam have higher


The grayscale website look very poor  nothing really inpressive

But at least they push the bitcoin price Up!
Well I hope they make btc to go 300k+

Let's see

Yes, the inflow dropped to zero if no one is investing with Grayscale at some moment in time. Taking the graph as an example, you will notice it is plotted in 2 weeks ranges in day on the horizontal axis, I mean the days are differs to the next in 2 weeks. Which means there are some weeks that no inflow at all, like on 13/02/2017 to 26/10/2017, and there are times there are customers that invested heavily with Grayscale, example is on 18/01/2021 which is among the 2 weeks plot from 04/12/2020 to 19/01/2021, during this period you can see inflow when customers are investing, and also a time when no one is investing, the time no customer are investing is when Grayscale closes investment for customers recently that fillippone even commented about in few posts back. Later in this January, Grayscale open investment products available to customers again and people started to invest with them. On 18/01/2021, in just a single day customers invested more than 600,000,000 which is the inflow of that day and can also be seen on the graph.

The graph is actually available on my spreadhseet.
There you can check all the source data and spot if there is any inaccurate or missing data in it.

The gaps you see on the red lines are the days with no inflows in the fund. They are most probably due to a closure in the fund subscriptions, rather than lack of buyers.
GBTC is usually open to subscriptions, but they can actually close the possibility to enter into it at their own discretion (there is an unclear correlation with other metrics on this).