Digital asset management firm Grayscale just released its first-quarter 2020 report, revealing that its flagship investment product, Grayscale Bitcoin Trust (GBTC), now holds 1.7% of all Bitcoin (BTC) in circulation on behalf of its customers.
Bitcoin is worth $7,119 at time of writing. With a total of 18,329,287 BTC worth $130,486,194,153 now in circulation, Grayscale’s BTC asset holdings are worth a whopping $2,218,265,300.
Although the economic downturn caused by the coronavirus pandemic has not spared Bitcoin and even with the cryptocurrency market crashing in March, the firm says demand for crypto investments remains high.
Grayscale says investors regard digital assets as medium to long-term investments and as an integral part of their portfolio.
“They are tactically using drawdowns to increase their exposure to the asset class, which they are now doing at the fastest pace in Grayscale history.
Quarter-over-quarter inflows more than doubled to $503.7 million, demonstrating demand is reaching new peak levels, even in a “risk-off” environment.”
Inflows for the Grayscale Bitcoin Trust, which is backed by real BTC and enables accredited investors to gain exposure to the king of crypto, hit $389 million in Q1 2020, marking the firm’s best quarter to date.
Grayscale raised $503.7 million across all of its products in Q1, and total inflows into Grayscale products over the past 12 months now total $1.07 billion.
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/vso