With every passing day, the adoption of cryptocurrencies and digital assets has been on the rise all over the world. Initially, it was just the individual participation from the investors’ end who were making decent investments in cryptocurrencies.
With the passage of time, the cryptocurrency industry has expanded to more spaces and has targeted higher investors. Since the beginning of 2021, the mainstream adoption of cryptocurrencies is on the rise. The graph for the cryptocurrencies’ adoption on a mainstream level is constantly growing larger with time.
However, there are several major mainstream institutions that are still looking for indirect exposure to cryptocurrencies. This is where Grayscale has offered its solution to such mainstream investors. These investors are reportedly investing millions of dollars for the acquisition of Grayscale’s shares that are formed of the company’s empire on cryptocurrency acquisition.
Grayscale reportedly purchases Bitcoin, converting them into its shares and the major institutions then acquire Grayscale’s shares, which lets them invest indirectly in Bitcoin. Grayscale not only offers Bitcoin but other major cryptocurrencies as well that the institutions can purchase and hold in the form of Grayscale shares.
Grayscale is among the firms that came up with the idea of offering this service to mainstream institutions before any other firm. Since then, Grayscale has gone on to become the largest asset management firm for digital assets.
Initially, Grayscale observed slow growth in the assets it was managing. However, as the cryptocurrency industry has experienced tremendous surge and growth starting the year 2021, the digital assets Grayscale handles have increased tremendously.
Since the beginning of 2021, Grayscale has reported gigantic growth in its assets under management (AUM). The value of the AUM handled by Grayscale had experienced a dip from April 2021 until the end of June 2021. However, the value of its AUM has increased starting July 2021.
Among all the assets that Grayscale manages, Bitcoin (BTC) and Ethereum (ETH) assets are the ones that have experienced a sharp rise. The highest number of assets Grayscale currently holds belong to Bitcoin and the second-highest asset it holds is Ethereum.
Grayscale recently revealed that the Bitcoin it currently holds is worth $31 billion. On other hand, the overall assets under management that Grayscale has are worth $43 billion. Grayscale has revealed that when it comes to Ethereum assets, Grayscale currently holds $10 billion worth of assets.
This means that a total of $41 billion worth of assets are only from Bitcoin and Ethereum. The firm has revealed that as of now, it has over 3 million Ether that it is currently handling for its clients.
Grayscale has also revealed that the third-largest cryptocurrency it currently holds is Ethereum Classic that is worth over $700 million.