Hello!
Never in the history of human kind has Grayscale BCH trush held more BCH as it helds today.
The number of shares outstanding: 31 041 600 pieces.
The total number of BCH locked: 288 025 BCH.
The total supply of BCH:
18,666,613 BCH
The percentage of total supply held by Grayscale share holders: 1.54 %.
The fund has been available for live trading for around half year. This means that annualized the fund has hoovered approximately 3 % of the entire coins supply. That is a nice metrics and a bullish news.
My commentary:
If the fund manages to lock up coins more than the inflation, eventually it will pump the price of bch. There will be a minor outflow due to 2.5 % annual management fee, but at this point it is not an issue and may never be. For investors who are wishing to exit, this is a good option for exits because generally the fund shares are trading on premium in the secondary markets. The risk is that the premium might vary during the lock up period. An investor can hedge against this volatility by opening a short position in the secondary markets that equals to the size of subscription and once his shares are being unfrozen, close the short, pay the fees and pockets the difference.
A speculator might want to speculate that there will be some sort of premium even after 1 year in bch. If this current cycle is indeed a super cycle, the premium might stay even pretty large. Therefore, buying as many bch from the market as possible and depositing them into the fund can boost the profits by several multiples. There is a decent probability for crypto super cycle because the market is not so much retail driven than before.
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from Bitcoin - The Internet of Money https://ift.tt/37Uayux
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