Over the past week, crypto fund manager, Grayscale, purchased an additional 17,100 BTC ($182 million), bringing the company’s BTC holdings to roughly 450,000 BTC ($4.7 billion). This essentially means that Grayscale currently holds about 2.15% of the entire BTC supply (21 million).
Grayscale buys additional 17100 $BTC
— Unfolded (@cryptounfolded) September 27, 2020
Grayscale seems to be leading a competitive BTC buying spree with the likes of MicroStrategy, who recently purchased an additional 16,796 BTC, bringing their total to 38,250 BTC. Both companies show no signs of slowing down.
Apparently there is some kind of bitcoin buying race between MicroStrategy and @Grayscale
— Barry Silbert (@barrysilbert) September 15, 2020
The fact that these massive companies keep adding to their BTC holdings can only mean that they view Bitcoin as ‘bullish’ long term. MicroStrategy’s CEO, Michael J. Saylor, recently mentioned that:
“This investment reflects our belief that Bitcoin, as the world’s most widely-adopted cryptocurrency, is a dependable store of value and an attractive investment asset with more long-term appreciation potential than holding cash.”
It can be expected that several other investment firms will look to increase their exposure to Bitcoin in the near future, in a bid to attract new investors and to remain competitive. Investors are looking for an investment opportunity, other than Gold or Silver, that will provide a hedge against inflation. It seems investors are turning to Bitcoin to provide this.