Grayscale Investments has posted a record quarterly performance, having added almost $1 billion, which nearly doubled its previous quarterly high. 84% of the investments were from institutional investors. The cumulative investment across all of its crypto products has reached $2.6 billion.
Grayscale Crypto Investments Add Nearly $1 Billion in Q2 — Bitcoin Trust Posts Record Quarter
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Grayscale Posts Record Quarter
Grayscale Investments released its second-quarter performance report on Wednesday. The company wrote:
Grayscale recorded its largest quarterly inflows, $905.8 million in 2Q20, nearly double the previous quarterly high of $503.7 million in 1Q20. For the first time, inflows into Grayscale products over a 6-month period crossed the $1 billion threshold.
“Grayscale Bitcoin Trust and Grayscale Ethereum Trust both experienced record quarterly inflows of $751.1 million and $135.2 million, respectively,” the report continues.
The majority of the investment, 84%, came from institutional investors, dominated by hedge funds, the company added. New investors accounted for $124.1 million of inflows and 57% of the investor base in the quarter.
The total investment into Grayscale products for the first half of this year amounted to $1.4 billion, and the cumulative investment across all of its crypto products since inception has reached $2.6 billion.
The firm’s total asset under management (AUM) as of July 15 is $4.1 billion. The Bitcoin Trust has the most AUM of more than $3.56 billion, followed by the Ethereum Trust with an AUM of $416.7 million.
The report also highlights that “Grayscale Bitcoin Trust inflows exceeded newly mined bitcoin.” The company elaborates: “After Bitcoin’s halving in May, 2Q20 inflows into the Grayscale Bitcoin Trust surpassed the number of newly-mined bitcoin over the same period. With so much inflow to Grayscale Bitcoin Trust relative to newly-mined Bitcoin, there is a significant reduction in supply-side pressure.” News. Bitcoin.com previously reported that the company added 1.5x the amount of new bitcoin mined after the halving.
Grayscale offers 10 cryptocurrency investment products: Bitcoin Trust ( BTC), Bitcoin Cash Trust ( BCH), Ethereum Trust ( ETH), Ethereum Classic Trust ( ETC), Horizen Trust (ZEN), Litecoin Trust ( LTC), Stellar Lumens Trust ( XLM), XRP Trust ( XRP), Zcash Trust (ZEC), and Grayscale Digital Large Cap Fund.
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