Grayscale ETF Records First Day of Inflows Ever

As a researcher with experience in the cryptocurrency market, I have closely monitored the developments surrounding Bitcoin ETFs, specifically the Grayscale Bitcoin Trust (GBTC). The recent news of GBTC experiencing a net inflow of new money for the first time since its debut in January is an interesting turn of events.


For the first time since its launch in January, the Grayscale Bitcoin Trust (GBTC), the largest Bitcoin exchange-traded fund (ETF) by assets, attracted new investments totaling $63 million on May 2, as reported by Farside Investors.

Bitcoin ETF Daily FlowGBTC US$ Flow: 63 millionFor all the data and disclaimers visit:— Farside Investors (@FarsideUK) May 3, 2024

As a researcher studying the investment landscape of digital assets, I’ve noticed that GBTC has been a go-to option for investors looking to gain exposure to Bitcoin (BTC) without actually buying the cryptocurrency. However, the competitive landscape shifted significantly in January when GBTC was transformed into an exchange-traded fund (ETF), making it more accessible to traders. Simultaneously, nine other spot Bitcoin ETFs entered the market, intensifying the competition for GBTC.

As a researcher studying investment trends, I’ve noticed that GBTC, due to its comparatively steep fees, experienced a massive withdrawal of over $10 billion by investors. This trend continued unabated for an astonishing 78 consecutive business days, coming to an end only last Friday.

At present, GBTC manages a portfolio worth approximately $18.1 billion, whereas IBIT, the second largest player, began with nothing in January and now boasts $16.9 billion in assets under management. Previously, GBTC had managed over $26 billion in assets.

Perfect Friday for Bitcoin ETFs

Based on SoSoValue’s report, the Bitcoin spot ETF recorded a net inflow of approximately $378 million on May 3rd. This marked the first positive daily flow after seven consecutive days of outflows. Furthermore, the GBTC ETF from Grayscale experienced an unusual single-day influx of around $63.01 million.

Grayscale ETF Records First Day of Inflows Ever

As an analyst, I’ve examined the Bitcoin and Ethereum spot ETF landscape in Hong Kong. The combined net assets of the three Bitcoin ETFs add up to around $250 million, representing roughly 4,225 Bitcoins. In contrast, the net assets of the Ethereum ETF trio are approximately $48.52 million, equivalent to about 16,000 Ethereum tokens.

Bulls return?

BTC ETF flows

As a researcher studying the ETF market, I’ve observed that every ETF experienced net outflows by May 2, amounting to a substantial loss of $563.7 million – marking the largest weekly losses since the beginning of trading in January. This trend has continued for almost two months, resulting in approximately $6 billion in total losses over the past four weeks. Consequently, assets under management have shrunk by 20%.

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2024-05-04 16:21