The world’s biggest crypto hedge fund manager, Grayscale, now has a whopping sum of $37.8 billion under its management as of 12th February, 2021.
Grayscale, whose publicly-traded crypto assets offer rich investors the chance to trade crypto on the equity market, has had its crypto holdings gain twelve times since the start of 2020.
02/12/21 UPDATE: Net Assets Under Management, Holdings per Share, and Market Price per Share for our Investment Products.
— Grayscale (@Grayscale) February 12, 2021
Most of the massive holdings of the crypto hedge fund juggernaut includes $31 billion held in Grayscale Bitcoin Trust. That said, Bitcoin’s soaring prices also helped the hedge fund hit $20 billion by the end of 2020.
Grayscale Bitcoin Trust is a traditional investment vehicle with shares titled in the investors’ names, providing a familiar structure for financial and tax advisors, and easy transferability to beneficiaries under estate laws.
Investors are increasing their cash flow investments to notable crypto hedge funds, who are prepared to pay a premium to buy and hold cryptos through the security of a regulated fund like Grayscale.
According to Glassnode, “Since Grayscale Ethereum Trust reopened in February, a total of 195,000 ETH has flown into the trust. 53,000 Ethereum was added yesterday alone.
The current Assets Under Management of Grayscale Ethereum Trust is $5.5 Billion – more than double since the beginning of the year.”
Metric Description; The Assets Under Management of the Grayscale Ethereum Trust,
Since the Grayscale #Ethereum Trust reopened in February, at total of 195,000 ETH have flown into the trust.
53,000 #ETH were added yesterday alone.
The current AUM of the ETHE Trust is $5.5B – more than double since the beginning of the year.
— glassnode (@glassnode) February 12, 2021
What you need to know about hedge funds
They are firms that offer alternative investments to a specific type of investors (high net worth individuals), in a bid to protect their investment portfolios from market uncertainty, while generating positive returns regardless of market sentiments.