Rothschild Investment Corp Has Increased Bitcoin Exposure By 300% Since April

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Billion-dollar investment firm Rothschild Investment Corp has quadrupled its exposure to Bitcoin (BTC) since April, according to new records.

In a filing on Saturday with the U.S. Securities and Exchange Commission (SEC), Rothschild confirmed that he now owns 141,405 shares of Grayscale Bitcoin Trust (GBTC).

Rothschild GBTC shares nearly 150,000

A discreet but nonetheless important player among institutions, Rothchild Investment Corp has also invested in the Grayscales Ether (ETH) equivalent, the Grayscale Ethereum Trust.

Its exposure to Bitcoin has increased significantly this year, according to the filing in April its GBTC shares stood at 38,346.

In BTC terms, with each GBTC share equal to 0.000939767 BTC, Rothschild therefore has an equivalent Bitcoin exposure of 132.8 BTC ($ 3.94 million).

The data implies the drop in prices hasn’t fazed executives, while Bitcoin has maintained a pullback for three months after hitting an all-time high of $ 64,500 in mid-May.

As Grayscale CEO Michael Sonnenshein noted this week, institutional players are likely not paying attention to short-term price movements, instead focusing on a much shorter time preference strategy when it comes to cryptocurrency. .

Investors in this asset class really don’t focus on… short-term price movements, he told CNBC.

These are really investors looking at their allocations over the medium to long term, and therefore any volatility or mitigation in volatility is not something that fools anyone.

On Monday, Ark Invest bought 310,000 GBTC shares, bringing its combined holdings to 8.81 million, or 0.5% of its portfolio. At its peak, GBTC represented 0.9% of the ARK portfolio at the end of March.

ARK Invest Holdings GBTC vs. GBTC price chart. Source: Ark Invest Good timing for grayscale FUD?

As Cointelegraph reported, Grayscale is at the center of the discussion this week, as it released over 16,000 BTCs of GBTC shares on Sunday.

Related: Institutional Bitcoin Demand Evaporates As BTC Struggles Below $ 31,000

Concerns, while arguably unfounded, have long abounded that the event would put downward pressure on Bitcoin prices, with the further pullback on Monday and Tuesday fueling the blaze.

GBTC stream in grayscale. Source: Bybt.com

Either way, since GBTC investors can’t buy back stocks for BTC and then sell for fiat currency, Bitcoin markets are actually left out of the equation when it comes to unlocks.

Grayscale itself only sells a tiny amount of the holdings of BTC Trusts for fund management purposes.

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