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Morgan Stanley buys Grayscale Bitcoin Trust stock

Morgan Stanley, giant of investment banking in the USA, bought more Grayscale Bitcoin Trust stock, coming to hold over $ 300 million in BTC exposure in total.

Morgan Stanley accumulates shares of the Grayscale Bitcoin Trust

According to a SEC filing, the Morgan Stanley Institutional Fund, Inc. would increase its holding of Grayscale Bitcoin Trust (GBTC) shares at the end of Q3, for three of its funds: Growth Portfolio, Insight Fund and Global Opportunity Portfolio.

To share the news on Twitter, the MacroScope channel thought about it with a roundup of tweets:

In new SEC filings, Morgan Stanley revealed a dramatic increase in Bitcoin exposure in its wealth management business. Earlier this year, Morgan reported buying Grayscale BTC in a large number of investment funds. For the three funds with Grayscale’s largest holdings.

Here are the changes that have just been announced:

Growth Portfolio (as of June 30): 2,130,153 shares

Growth Portfolio (as of September 30): 3,642,118 shares

Insight Fund (as of June 30): 928,051 shares

Insight Fund (as of September 30): 1,520,549 shares

Global Opportunity Portfolio (as of June 30): 919,805 shares

Global Opportunity Portfolio (as of September 30): 1,463,714 shares

Other Morgan funds that own Grayscale BTC also showed large percentage increases.

In percentages, the increase in GBTC shares for the three Morgan Stanley funds for Q3 compared to Q2 were respectively 71%, 63% and 59%.

The total amount of GBTC shares held through the three funds thus reached 6,626,381, for a value of approximately $ 307 million at current prices.

Morgan Stanley and GBTC shares discounted from February 2021

Morgan Stanley would have continued with the accumulation of GBTC despite the steep discount the shares have since February between the market price of GBTC shares and their net asset value (NAV).

Practically, the share price is lower than the current value of the Bitcoin they represent and according to YCharts data, GBTC’s current discount is -12.32%.

According to a report, this means that as of October 29, 2021, Bitcoin’s value has risen by 95% since the beginning of the year, however, one of the largest Bitcoin-focused funds in the industry has only returned 42% over the same period.

The US investment giant would have started to buy GBTC starting last June 2021, through its Europe Opportunity Fund which purchased 28,289 shares.

Morgan Stanley Grayscale Bitcoin Trust
grayscale would like to convert the Bitcoin Trust into an ETF

Grayscale and the conversion of its Trusts into ETFs

Discounts or not, Grayscale also stands by initiating a procedure to convert your Trust into an ETF.

Last month, Barry Silbert, CEO and founder of Digital Currency Group to which Grayscale belongs, had posted a tweet advising against buying and holding futures-based ETFs.

In the conversation with other users, when asked when it will happen theto convert the Grayscale Bitcoin Trust into a spot BTC-based ETF, or on the tokens directly held by the fund, Silbert was a chance, as if such a conversion will soon be made.

After all, it is also not new that Grayscale is also working with BNY Mellon to put a Bitcoin-based ETF on the US market.


Kim Lee

Kim is a Chinese girl and has studied in England. Kim loves playing video games, she likes Fortnite games. Kim likes Hollywood movies. Kim's English is very good, so she became a writer. Email : kim@d1softballnews.com

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