The global leader in digital currency asset management, Grayscale, has announced that they bought 100,000 ETH. After the sales reported on the presently filed Current Report on Form 8-K by Grayscale Ethereum Trust (ETHE), the Trust issued 1,140,900 Shares at different prices.
These shares were ascertained by reference to its Digital Asset Holdings per Share to selected “accredited investors,” considering Rule 501 of Regulation D under the Securities Act of 1933. The act is amended in private placement transactions exempt from the registration requirements of the Securities Act under Rule 506(c) thereunder for an aggregate of 105,927.51301273 Ethereum representing $62,975,646.
The brokerage firm Genesis Global Trading, Inc. acted as the Authorized Participant for these distributions. As a result, there are 30,280,300 Shares issued and outstanding as of Dec 7, 2020. Their last report was a week ago, pointing out that 100,000 Eth has been sold this week, up from 78,229.44246893 Eth a week ago. The asset manager seems to have three million Eth issued and ready to be bought, making this one of the largest custodians of Eth.
What is the future of ETFs?
Based in New York, the Grayscale Ethereum Trust (ETHE) was launched in 2013 by Digital Currency Group. ETHE is a trusted authority on digital currency investing set to transform our financial system. It is limited to accredited investors. GrayScale is handling more than $12 billion in assets and growing since it is the only way to invest in stock in the USA’s form of Eth and bitcoin. High demand has led to a significant premium with eth trading at some $1,200 Grayscale Ethereum Trust at 0.1 Eth per share.
Therefore, calls for an ETF have been growing significantly. Many expect the new administration to approve it now that the crypto space has much interest and institutional investors’ involvement.
ETH is Thriving
Just recently, Ethereum co-founder Vitalik Buterin said that the total supply of Ethereum is approximately 113.7 million ETH, indicating that there is just over one percent that has been staked. The blockchain attained its target due to the surge; it launched on Dec 1.Ethereum 2.0 stake consensus mechanism enables traders to lock up their Ether to get variable yearly returns.
Ranked second by market capitalization, Ethereum is host to the largest ecosystem of blockchain applications. The blockchain hopes to improve by introducing waves of high-class enterprise and independent applications. The shift would lead to a more innovative, faster network, and easy to use.