According to Bybt data, Grayscale Bitcoin Trust (GBTC) will unlock about 41.8 million bitcoins in mid-to-late July, with the largest single-day unlock on July 18 (16.2 million). In addition, the Grayscale Bitcoin Trust will have approximately 7,370 bitcoins unlocked in August.
The Grayscale Bitcoin Trust suspended new investments in March of this year, and since then GBTC has maintained a negative premium, falling below -20% in May before rebounding to around -10%. Due to the 6-month lock-up rule for trust shares, there will be no more GBTC unlocks after September (in the event that GBTC is not opened for new investments).
In response to the unlocking of the Grayscale Bitcoin Trust, some analysts believe that there will not be much impact on the bitcoin market, as the rules of Grayscale are entry-only, investors invest through bitcoin, Grayscale gives the corresponding share of shares, and the unlocked fund shares do not flow directly into the mainstream secondary market.
Some analysts also believe that after July, GBTC will enter an intensive large unlocking period, or inevitably have an impact on the premium rate. As the Gray GBTC product is one of the few products that provide customers with a compliant channel into bitcoin investment and does not have a redemption mechanism, this has resulted in GBTC being in short supply and maintaining a positive premium for a long time. This has attracted a large number of arbitrageurs looking for primary market opportunities to sell to the secondary market after the 6-month lock-up period is over in order to complete their arbitrage. The biggest reason for the negative premium is the outflow of some of the arbitrageurs’ capital profits, and the July unlocking will inevitably have an impact on the market.
Grayscale Bitcoin Trust, a financial instrument launched in September 2013, is the world’s largest digital asset fund manager, allowing institutional investors to gain exposure to bitcoin through shares in the trust, which currently holds more than 650,000 bitcoins, which is more than 3% of the cryptocurrency supply. Grayscale is a division of Digital Currency Group, which also owns CoinDesk, the world’s leading blockchain information platform. Previous information disclosed that Morgan Stanley holds 28,200 shares of Grayscale Bitcoin Trust
Grayscale Group holds a variety of cryptocurrency assets, and in recent news, digital asset manager Grayscale has added Cardano (ADA) to its Digital Large Cap fund. After this adjustment, the components of the Grayscale Digital Block Fund are BTC (67.47%), ETH (25.39%), ADA (4.26%), BCH (1.03%), LTC (0.99%), and LINK (0.86%).
As the leader of the “multi-army” organization, investors are particularly concerned about the increase or decrease of its asset management type, and it has even become one of the weathervanes.
Posted by:CoinYuppie，Reprinted with attribution to:https://coinyuppie.com/over-40000-bitcoins-to-be-unlocked-in-july-market-may-face-huge-sell-off/
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