Is GBTC a good or bad investment?
This article will explain why GBTC’s premium over the spot price of Bitcoin is actually a good thing. Like most rule of thumb beliefs, the idea that a premium over NAV is bad feels intuitive. After all, you wouldn’t want to buy an apple for double the price of an apple.
Should I buy GBTC?
Technically speaking and based on what the GBTC price chart is telling us, investors may want to tip-toe into Bitcoin and accumulate shares on near-term weakness, which may not yet be finished. Bottom-line, all stocks correct. Even the best. And when it’s leadership like BTC and volatility is a certain factor, corrections of 30% should be expected.
What are the best bitcoin stocks?
Investing in Cryptocurrency Stocks
- Digital currency companies hold major potential. ...
- Coinbase Global. ...
- Square and PayPal Holdings. ...
- Canaan and Hut 8 Mining. ...
- Nvidia and AMD. ...
- Facebook and Shopify. ...
- Robinhood Markets. ...
- CME Group. ...
- The beauty of crypto stocks. ...
How many GBTC shares equal 1 BTC?
The price of one GBTC share is set at 0.00098409 BTC. At the time of this writing, this equals $5. Given the current price of Bitcoin [coin_price], this means that GBTC buyers are happily paying a premium worth around 37 percent.
See more
Is GBTC a Pink Sheet stock?
GBTC resembles an exchange-traded fund in that it is passively managed and has been seeking to replicate bitcoin's movement. It's been around since May 2015 and is not listed on a major exchange, trading instead in the “pink sheets” or the over-the-counter market.
Is Bitcoin the same as GBTC?
GBTC is not the same as Bitcoin. GBTC is an investment trust or fund which buys and secures Bitcoin on your behalf. When you buy GBTC, you are buying shares of the trust. On the other hand, when you buy Bitcoin, you directly buy the cryptocurrency Bitcoin (BTC) and not shares in a Bitcoin investment trust.
Is GBTC trading at a premium?
GBTC products usually trade at a premium cost to the current value of the holdings or net asset value since it is a regulated path to Bitcoin exposure and is backed by institutions. The GBTC premium refers to the difference between the trust' value of the assets and the market prices of those holdings.
Is GBTC on Nasdaq?
*Today's High/Low is only updated during regular trading hours; and does not include trades occurring in pre-market or after-hours....GBTC Real-Time Quotes Live.Nasdaq Last Sale (NLS) Plus Volume5,654,079Previous Close$12.06Today's High / Low*$12.60/$12.1352 Week High / LowN/A
Is GBTC a stock or ETF?
Shares of the Grayscale Bitcoin Trust (GBTC) hit record lows against its net asset value (NAV), trading at a 30.79% discount, data from YCharts shows. GBTC is a private-placement trust that trades like a stock and allows investors to get exposure to Bitcoin without actually having to buy the asset.
Is GBTC considered virtual currency?
The Grayscale Bitcoin Trust is a digital currency investment product that individual investors can buy and sell in their own brokerage accounts.
Is GBTC a closed-end fund?
The bigger problem is that the Grayscale Bitcoin Trust is structured like a closed-end fund with a fixed number of shares on the market. The shares may trade at a premium or discount to the fund's underlying net asset value, or NAV, depending on market demand.
Is Grayscale Bitcoin Trust the same as bitcoin?
The Grayscale Bitcoin Trust is a different beast. This investment vehicle is managed like a stock-based trust fund and presented to investors in the form of stock on the OTC market. The trust invests directly in Bitcoin and has no other holdings.
Is GBTC selling at a premium or discount?
GBTC trades at a deep discount to its underlying Bitcoin holdings, or net asset value. At Monday's closing price of $24.67, the trust traded at a 29% discount to its NAV of $34.84 a share.
How do I buy GBTC stock?
Go to CoinMarketCap and search for Grayscale Bitcoin Trust tokenized stock FTX. Tap on the button labeled “Market” near the price chart. In this view, you will see a complete list of places you can purchase Grayscale Bitcoin Trust tokenized stock FTX as well as the currencies you can use to obtain it.
Who owns GBTC stock?
Top 10 Owners of Grayscale Bitcoin Trust (BTC)StockholderStakeShares ownedARK Investment Management LLC0.88%6,095,149Horizon Kinetics Asset Management...0.34%2,316,550Simplify Asset Management, Inc.0.06%393,302Systelligence LLC0.04%261,6696 more rows
What holdings are in GBTC?
New and Sold Out PositionsOWNER NAMEDATEVALUE (IN 1,000S)MAIN MANAGEMENT LLC03/31/2022$2,087ROTHSCHILD INVESTMENT CORP /IL03/31/2022$1,773KINGFISHER CAPITAL LLC03/31/2022$1,421TRU INDEPENDENCE LLC03/31/2022$1,35311 more rows
How has Grayscale Bitcoin Trust (BTC)'s stock performed in 2022?
Grayscale Bitcoin Trust (BTC)'s stock was trading at $34.25 at the start of the year. Since then, GBTC shares have decreased by 45.5% and is now tr...
Are investors shorting Grayscale Bitcoin Trust (BTC)?
Grayscale Bitcoin Trust (BTC) saw a drop in short interest during the month of May. As of May 31st, there was short interest totaling 4,498,000 sha...
When did Grayscale Bitcoin Trust (BTC)'s stock split? How did Grayscale Bitcoin Trust (BTC)'s stock split work?
Grayscale Bitcoin Trust (BTC)'s stock split on the morning of Friday, January 26th 2018. The 91-1 split was announced on Thursday, January 11th 201...
Who are Grayscale Bitcoin Trust (BTC)'s key executives?
Grayscale Bitcoin Trust (BTC)'s management team includes the following people: Michael Sonnenshein , Chief Executive Officer & Director Edward Mc...
Who are some of Grayscale Bitcoin Trust (BTC)'s key competitors?
Some companies that are related to Grayscale Bitcoin Trust (BTC) include 578896 (INB.L) (INB) , Aberdeen Global Dynamic Dividend Fund (AGD) , Ab...
What other stocks do shareholders of Grayscale Bitcoin Trust (BTC) own?
Based on aggregate information from My MarketBeat watchlists, some companies that other Grayscale Bitcoin Trust (BTC) investors own include NVIDIA...
What is Grayscale Bitcoin Trust (BTC)'s stock symbol?
Grayscale Bitcoin Trust (BTC) trades on the OTCMKTS under the ticker symbol "GBTC."
How do I buy shares of Grayscale Bitcoin Trust (BTC)?
Shares of GBTC can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include WeBul...
What is Grayscale Bitcoin Trust (BTC)'s stock price today?
One share of GBTC stock can currently be purchased for approximately $18.68.
What is GBTC in Bitcoin?
What is GBTC trust?
Put simply, the GBTC is a financial vehicle that allows investors to invest in trusts that, in turn, hold large amounts of Bitcoin. This means that as the price of BTC rises ...
Why is it so hard to store Bitcoin?
What You Need to Know. The Grayscale Bitcoin Trust (GBTC) is a simple way to make a Bitcoin investment through the stock market. While GBTC eliminates some hassles and risks of investing in Bitcoin directly, those benefits come at a cost. A Bitcoin ETF could render the trust obsolete. The Grayscale Bitcoin Trust (GBTC) is ...
What is Grayscale Bitcoin Trust?
Another is that filing taxes for gains made on shares — such as those from investing in GBTC — is much less complex than the tax regime that applies to crypto holdings.
What does BTC mean in investing?
Ultimately, the Grayscale Bitcoin Trust allows investors to gain exposure to the Bitcoin marketplace in a way that simplifies taxes and storage, and provides federal oversight. But those benefits come at a relatively high cost. And so, while advisors shouldn’t ignore BTC funds like the GBTC, the average investor is likely to make only small investments into stock market BTC tracker funds. Until, that is, we get a full-fledged Bitcoin ETF — because that will be a game changer.
Is it bad to invest in GBTC?
This means that the fund itself, as well as shares in it, follows the price of BTC. This process means that accredited investors — or those invited to contribute to the fund during its initial, private round — make a direct return on reselling their shares.
Is GBTC a SEC investment?
On the other hand, there are a number of disadvantages of investing in GBTC, as opposed to buying Bitcoin directly. The first, and most obvious, is that since shares in the trust trade at a premium, they come with a significant up-front cost.
What time do you trade in the pre market?
GBTC is an investment that is overseen by the SEC, but still has significant exposure to the price of Bitcoin, allowing risk-conscious investors to take advantage of price shifts.
Does market cap include convertible securities?
Investors may trade in the Pre-Market (4:00-9:30 a.m. ET) and the After Hours Market (4:00-8:00 p.m. ET). Participation from Market Makers and ECNs is strictly voluntary and as a result, these sessions may offer less liquidity and inferior prices. Stock prices may also move more quickly in this environment.
What is Grayscale Bitcoin Trust?
It does not include securities convertible into the common equity securities. "Market Cap" is derived from the last sale price for the displayed class of listed securities and the total number of shares outstanding for both listed and unlisted securities (as applicable).
How much did Bitcoin rise after Elon Musk changed his Twitter bio?
Grayscale Bitcoin Trust (BTC) is an exchange traded fund launched and managed by Grayscale Investments, LLC. The fund invests in Bitcoins. It invests through derivatives such as futures, swaps, and other CFTC-regulated derivatives that reference digital currencies.
How much did GBTC trade in 2017?
Bitcoin surged 17% on Friday after Tesla founder Elon Musk changed his Twitter bio to "#bitcoin." The digital asset spiked to $37,627 in under an hour following the billionaire's update, after having sp...
What is a trust in bitcoin?
In early September 2017, before GBTC shares split 91-1, Bitcoin traded at about $4.5k and GBTC $1k for the rough equivalent of 1 BTC. That means GBTC was trading at over 100% premium. In other words, you could have bought 2 Bitcoins for every 1 Bitcoins worth of GBTC.
Is GBTC a good buy?
A trust (an investment trust) is a company that owns a fixed amount of a given asset (like gold or bitcoin). Investors pool money and buy shares of the trust, owning contracts that represent ownership of the asset held by the trust. In a gold trust, 1 share might be worth 1/10th an ounce of gold. With the Bitcoin trust, 1 share is worth about ...
Is GBTC a stock?
GBTC is, very generally speaking, a great buy for a casual investor who doesn’t want to trade cryptocurrency on an exchange (but wants to trade Bitcoin). With that said, at times it can trade at a pretty intense premium (due to high demand and limited supply). [3][4]
Is GBTC better than Bitcoin?
It is also one of the only choices for investing in Bitcoin without buying Bitcoin directly as of early-2021 (this could change). GBTC isn’t the only way to invest in Bitcoin.
Is GBTC cheaper than GBTC?
The Bitcoin Investment Trust ( GBTC) is the only choice for investors to trade Bitcoin on the stock market, and for this investors tend to pay a premium. [1] Below we explain the Bitcoin Investment Trust (GBTC), the pros and cons of GBTC, and why GBTC is a better investment than Bitcoin in some ways (but not in others).
Company Profile
If you aren’t paying fees with your brokerage, or your fees are low, GBTC might be cheaper in this respect. GBTC is the only Bitcoin stock on the market. You either get GBTC, or you don’t. Even with the premium, GBTC has performed very well at times.
Analyst Opinions
Grayscale Bitcoin Trust (BTC) is an exchange traded fund launched and managed by Grayscale Investments, LLC. The fund invests in Bitcoins. It invests through derivatives such as futures, swaps, and other CFTC-regulated derivatives that reference…
Research Reports
The Equity Summary Score is an accuracy-weighted sentiment derived from the ratings of independent research providers on Fidelity.com. It uses the past relative accuracy of the providers in determining the emphasis placed on any individual opinion. Learn More....
Compare
This generated report* compiles independent, third-party information highlighting key fundamental and technical data, analyst opinions, stock price movement, earnings data, and industry comparisons. Available only to Fidelity customers.
