The Grayscale Bitcoin Trust (GBTC), the largest bitcoin ETF by assets, experienced a noteworthy net inflow of new cash from contributors, as reported by Farside Investors. This is the first daily increase since the product was launched in January.
An estimated total of $63 million was invested on Friday, as per the calculations by Farside.
Until recently, the Grayscale product was the leading traditional investment option for those wanting to invest in bitcoin (BTC) without buying the cryptocurrency directly. However, it faced competition in January when it was transformed into an ETF that is easier to trade, simultaneously with the launch of nine other direct bitcoin ETFs.
GBTC’s high fees made investors withdraw billions of dollars from it. As a result, its bitcoin holdings went down from over 600,000 bitcoins to approximately 290,000 bitcoins, according to data gathered by CoinDesk.
While the Friday inflow ends the streak of net GBTC withdrawals, BlackRock’s iShares Bitcoin Trust (IBIT) is challenging the fund for the title of biggest bitcoin ETF. GBTC now has $18.1 billion in assets, versus IBIT’s $16.9 billion. IBIT, now in second place, started at zero in January, while GBTC had more than $26 billion.
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