It has been suggested that the Canadian Purpose Bitcoin ETF is eroding Grayscale’s market share.
According to Cointelegraph, a cryptocurrency media outlet on the 2nd, with the launch of Canada’s first Bitcoin ETF, the stock price of Grayscale Bitcoin Trust (GBTC) was traded at a lower price than the spot BTC for the first time throughout the month.
The share price of GBTC was traded at a lower price compared to spot BTC throughout the month of March.
Rafael Schulze-Craft, chief technology officer (CTO) of on-chain analytics company’Glassnode’, tweeted on April 1 that the stock price of the institutional fund manager’s GBTC product was traded at a price of -6% decline in March average. Pointed out.
He noted that the decline in the price of GBTC shares coincided with the launch of the’Purpose Bitcoin ETF’, which accumulated about $940 million worth of BTC since its launch in Canada at the end of February.
However, Glassnode’s CTO was not alone to speculate that the launch of the first Bitcoin ETF in North America would have caused the price of GBTC to fall. “Grayscale was the only game in the ecosystem with a bitcoin trust. Now there is an ETF that fills 40bps in Canada. And it’s a low-cost structure!”
Meanwhile, earlier this month, the Securities and Exchange Commission of Brazil (SEC) also approved Bitcoin and two cryptocurrency ETFs.
Schulze-Craft pointed out that GBTC’s stock price has remained flat in recent weeks. “As long as existing products are traded at discounted prices, signing up to create new GBTC products is meaningless.”