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Grayscale: Bitcoin institutional investment grows


Bitcoin has had a pretty unique year so far. Whether due to the momentum it had in January, the great fall in March or the side market that it has maintained after Halving in May, the truth is that it has varied a lot. However, this has not prevented institutions from investing money in this cryptocurrency. According to new reports, institutional investment reaches 57.8 million dollars in Bitcoin every week according to Grayscale.

Knowing the institutional investment data in Bitcoin, according to Grayscale

According to a new Grayscale report, the Grayscale Bitcoin Trust It has been seeing massive institutional inflows, averaging $ 43.8 million per week during the first half of 2020.

Surprisingly, the majority of these entries occurred in the second quarter. All this despite the fact that Bitcoin registered more notable gains in the first months of 2020 as we mentioned previously.

This indicates that global money printing and lax economic policies are leading investors to bet on alternatives like BTC. Therefore, we can affirm that the institutional participation in the crypto market is growing considerably.

If we want proof of this, just remember the headlines in which the legendary investor appeared Paul Tudor Jones. At the time, Tudor announced that it is investing a remarkable percentage of its net worth in Bitcoin. Similarly, he explained that he believes that BTC will be the biggest beneficiary of current world inflation.

However, Jones is not the only notable investor who is adding cryptocurrencies to his investment portfolio. According to data from Grayscale’s second-quarter and half-year report, its BTC Trust product has been seeing massive inflows.

Grayscale Bitcoin Trust has had millions of entries by institutional investors during the first half of 2020.
Grayscale Bitcoin Trust had millionaire inflows from institutional investors during the first half of 2020.

How much has been the investment in these months within the BTC Trust?

In the first half of the year, institutions invested a total of $ 1.4 billion in all Grayscale products, averaging $ 43.8 million per week in Bitcoin.

Likewise, weekly inflows into the product grew in the second quarter of the year, in which they averaged 57.8 million dollars. One possible reason is that while there is a global crisis and recession, there are investors who are looking for hard or diverse assets right now.

The company also noted in its report that the amount of Bitcoin being purchased through its products has exceeded the production rate of the cryptocurrency.

After Bitcoin halved in May, second quarter 2020 investment inflows into the Grayscale Bitcoin Trust exceeded the number of Bitcoin mined during the same period.

This has reduced the supply side pressure on the cryptocurrency and is an overwhelmingly positive sign for its macro outlook, especially in terms of bullish prospects.

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