Monday, May 29

Rothschild increases its exposure to Bitcoin by more than 60% through Grayscale – DiarioBitcoin

For Hannah Perez

Rothschild holds 232,311 shares of Grayscale’s Bitcoin fund and just over 300,000 shares of the Ether fund.

The renowned American investment firm, Rothschild Investment Corp, has been increasing its exposure to Bitcoin (BTC) since the beginning of the year, according to documents of the US Securities and Exchange Commission (SEC).

Despite the massive price pullback seen in the digital currency market, the 110+ year old company has continued to invest in Bitcoin through the bottom of Grayscale. According to public records of the SEC dated January 24, Rothschild bought just over 90,000 shares of the fund Bitcoin from Grayscale, called Grayscale Bitcoin Trust (GBTC).

Records suggest the firm recently increased its holding of GBTC shares by more than 60%. as reported DailyBitcoin, Rothschild had previously invested in Bitcoin through the giant fund manager. At the end of 2020, the company declared holding 30,454 GBTC shares; then quadrupled his investment in July 2021, when he accounted for 141,405 shares.

Rothschild has also been increasing its exposure to Ethereum, the second largest cryptocurrency, public SEC records show. The Chicago-based financial group, which has remained a quiet but representative player among institutional cryptocurrency investors, increased its shares of Grayscale Ethereum Trust (ETHE) from 279,119 to 306,099.

Previously, it had been revealed that the firm increased its investment in ETHE by 5% during the second quarter of last year, when it reported holding more than 270 thousand shares of the fund. Ether. Exposure to the asset has increased about 10% since then.

According to the documents presented, the participation of Rothschild currently in the investment vehicles of Bitcoin Y Ethereum they have a combined value of just over $11 million.

Rothschild invest in crypto funds amid massive discount

The company’s latest statements come amid a pronounced downtrend in the digital currency market that has seen Bitcoin drop below $35,000 this week. The flagship cryptocurrency has been steadily falling since reaching a high near $70,000 in November of last year.

Major cryptocurrencies have seen a similar correction. For example, in the case of Ether, the digital currency has retraced almost 50% from its record mark of $4,820, to currently sit below $2,300.

The latest investments of Rothschild, a company with more than $1 billion in assets under management, suggests its executives have not been fazed by the market price collapse, and continue to maintain an appetite for the digital asset sector.

It should be noted that the purchase of the company also comes at a time of significant decline for the shares of the GBTC and ETHE funds. Both funds, managed by Grayscale, allow investors to indirectly access the two largest cryptocurrencies without the challenges of physically buying, storing and holding them. However the GBTC stock price has fallen more than 20% over the past 12 months. For its part, ETHE has increased almost 27%.

Other institutional investors of cryptocurrency funds Grayscale include the banking giant Morgan Stanley. Established in 1908, Rothschild is a company that offers portfolio management services, retirement plans, consulting and investment advice.

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Article by Hannah Estefanía Pérez / DailyBitcoin

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WARNING: This is an informative article. DiarioBitcoin is a means of communication, it does not promote, endorse or recommend any investment in particular. It is worth noting that investments in crypto assets are not regulated in some countries. May not be suitable for retail investors as the full amount invested could be lost. Check the laws of your country before investing.