According to the latest developments, the New York-based Millennium Management has finally traded Grayscale’s Bitcoin Trust shares. This has happened because in the last week or so, Grayscale’s Bitcoin Trust did burn the hedge fund titan real good, and due to that inconvenience, the decision to sell/trade a few shares have come forth. The main reason was the offering of the discount by Grayscale’s Bitcoin Trust, which created all this disarray.
All the Grayscale’s Bitcoin Trust shares are trading at almost an 8.35% discount to the net asset value, which is not very pleasant for the shareholders, so to speak. There also have been talks about Grayscale’s Bitcoin Trust that it might convert the trust into an exchange-traded fund, now this is something that they haven’t gone through with it, but there are equal chances that they might.
Selling of Grayscale’s Bitcoin Trust Shares Depicts Millennium Management Finally Caving in for Bitcoin
At the present moment, it is still unclear that how many shares of Grayscale’s Bitcoin Trust does Millennium Management owns but the process of trading these have already started and who knows where it might end or if it will ever. However, the hedge fund titan that boasts the management of assets worth more than $48.3 million did move towards cryptocurrency. It is a clear-cut sign of FOMO (fear of missing out) on an institutional level.
Tesla’s CEO Elon Musk is a clear example of the institutional hold over the cryptocurrency as a few tweets from Musk are capable of shaking the whole cryptocurrency down to its core which only means one thing, and that is the fact that the performance of the cryptocurrency is definitely affected by what the financial sector has to say about it. Due to this very reason, many other financial institutions from around the world have caved into the idea that maybe crypto is worth a shot and the very reason that Millennium Management is finally caving it for too. It might just be a temporary thing as it happens with typical hedge funds laying off those stakes that are not profitable and are, in fact, sinking, or it could be their express entry into the world of cryptocurrency.