Grayscale BTC Trust Outperforms Tesla
2 min readTL;DR Breakdown
- Grayscale BTC Trust (GBTC) has outperformed Tesla, reveals Bloomberg’s Mike McGlone.
- He credited GBTC price growth to the increasing interest in BTC ETF in the U.S.
Last week, the leading BTC Fund manager, Grayscale launched five new crypto investment products for individuals and institutional investors. According to Bloomberg’s chief commodity strategist, Mike McGlone, GBTC has outperformed Tesla since the beginning of the year.
Grayscale BTC Trust Leads Tesla Stocks
Mike revealed through a tweet that the Grayscale BTC Trust (GBTC) is leading Tesla stocks by almost 50% since the year started. He attributed the growth of the GBTC to the increasing chances of BTC ETFs happening in the U.S.
Although the SEC has not yet approved any BTC ETFs in the U.S., there is so much anticipation from investors for approval. After many failed proposals by BTC ETF issuers, the latest firm to send a proposal to the SEC is VanEck, a global investment manager.
However, the 45-day approval window by the SEC is currently on. According to John Davi, the CEO of Astoria Portfolio Advisors, it’s just a matter of time before the approval comes through. Davi continued that people will readily invest in BTC ETF once it is approved
Grayscale BTC Trust performance linked to interest in BTC ETF
According to a report, Grayscale BTC Trust may be converted to a BTC ETF if the SEC allows. This is due to the current negative premium of the GBTC and the increasing interest in BTC ETF.
Mike continued that the increasing interest in BTC ETF in the U.S. has contributed to the performance of the GBTC compared to Tesla stocks. Mike had tweeted earlier this year that BTC has already become less risky than the Dow Jones index.
A couple of hours back, he tweeted that the flagship cryptocurrency is on its way to becoming a “risk-off reserve asset”. Mike added that BTC will eventually become a global digital reserve asset.
Recently, Elon Musk announced that BTC can now be used to purchase Tesla cars. He added that the BTC will be added to its $1.5 million worth of BTC in its custody. Following the news, the price of BTC soared by $6,000. However, BTC has dropped since then and is currently trading around $53,579.
