Due to the increasing demand for hedge investment assets, the companies and institutional actors have increased their Bitcoin holdings. In the latest update, fund manager Grayscale notes it is holding $7 billion in assets under management.
$7.3 Billion in AUM
According to Grayscale, the fund manager has added a fresh investment of $1 billion in digital assets in just one week. As reported on Oct.22, the value of assets under management jumped from $6.3 billion to $7.3 billion.
Bitcoin Trust and Ethereum Trust of the investment giant are holding most of the funds. The latest increase in funds is dedicated to disruptive news of PayPal’s support for cryptocurrency.
According to Grayscale’s latest report, Litecoin Trust has jumped by 7.5% “since the previous report on assets’ value.” Similarly, another altcoin, Zcash Trust has surged by 6% over the same time frame. The firm has also seen a clear growth in XRP, Ethereum Classic, Bitcoin Cash, Stellar Lumens, and Horizen.
Chief Executive and founder, Barry Silbert, updated over Twitter that Grayscale “Added a cool $300 million in AUM in one day.”
Grayscale Holds 2.5% of BTC Supply
The largest amount of funds is held under Bitcoin Trust which is equal to nearly $6 billion. It means that the fund manager is having 2.5% of BTC supply which counts around “18,522,937 according to CoinMarketCap.”
Grayscale is not only a single investment company to invest in cryptocurrency but many other companies have shown their interest by purchasing Bitcoin. For instance, MicroStrategy has invested more than $400 million in Bitcoin. Similarly, payment company Square also purchased Bitcoin as a hedge investment tool against high inflation situation.
The latest entry of PayPal has made everyone in the crypto community wondered and puzzled as the payment giant has access all over the world. With this adoption, cryptocurrency will see an exponential increase. Based on the opinions and views of the market experts, the banks will have to get quick in the development and launch of cryptocurrency, and if they don’t get on the crypto ramp, they will be left behind.