Crypto’s Biggest Asset Manager Launches Bitcoin Mining Fund, Wants To Take Advantage Of Fire Sale Prices From Underwater Sellers

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Crypto’s Biggest Asset Manager Launches Bitcoin Mining Fund, Wants To Take Advantage Of Fire Sale Prices From Underwater Sellers
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The Grayscale Digital Infrastructure Opportunities LLC will invest in distressed Bitcoin mining assets – namely, Bitcoin mining machines. This new business line could also help offset deep struggles with its flagship bitcoin investment trust.

. Such a large discount means that an investment in GBTC would be worth 35% less on a dollar basis than a like investment in spot BTC. Grayscale has been trying unsuccessfully for years to convert GBTC to an ETF, which would open it to retail investors and likely cause the shares to trade close to NAV.

Grayscale has emphasized that it will largely focus on acquiring Bitcoin mining machines, but it’s plausible that, should it raise enough money, the fund could target other mining assets and equity in Bitcoin mining companies in the future.

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