Grayscale Bought 50% of Ethereum Minted in 2020 as ETH 2.0 Testnet Garners Positive Response

Ethereum is currently witnessing one of its most engaging periods in the industry. During the month of March, the coin suffered a major setback but the largest altcoin asset was able to rally back into a strong position.

Now, according to recent reports, Grayscale, one of the largest digital asset manager firm in the industry, is identifying Ethereum’s potential in space, regardless of its recent price scare. A recent Reddit post indicated that Grayscale’s investments had bought close to 50 percent of the Ether mined in 2020. The statistics indicate that the company currently holds 1.1% of the total Eth in the circulating supply.

Grayscale buying Ethereum left and right

According to data, a total of 1,563,245,875 ETHs were mined in 2020 from 1 January to 24 April. During the same period, it was observed that the number of shares issued to the Grayscale Investments Ethereum Trust (ETHE) was 13,255,400 on 24 April. The number was approximately 5,230,200 on 31 December.

On calculating the data, it was analyzed that approximately 756,240 ETH was bought which precisely meant ETHE bought around 49% of the total ETH mined.

Additionally, During the first quarter of 2020, Ethereum Trust accounted for a  $110M of inflows, which is more than all previous inflows combined for the past two years ($95.8M). That is a substantial increase, which suggested that the interest in ETH futures is likely more than what the community expected.

Grayscale Ethereum Trust shares are some of the first securities solely invested in and derived from the valuation of Ethereum. The Trust allows its investors to gain exposure and experience with ETH’s price movements through a traditional investment vehicle. Traders and Investors are able to incur the profitability of trading without the challenges of buying, storing, and housing their ETH funds.

At the time of writing, Grayscale currently operated 10 different cryptocurrency investment products focused on institutional investors.

Ethereum 2.0 is gaining attention?

Previously, it was reported that the number of Ethereum validators was also on the rise following the launch of the recent ETH 2.0 testnet. The upcoming release of Ethereum 2.0, which will complete the migration from the current proof-of-work consensus algorithm to the proof-of-stake algorithm. It could be one of the main reasons behind the high level of buying at the current moment.

At press time, Ethereum’s valuation remained under the $200 range at $195 but it could soon breach above the $200 once again. Its market capitalization remained under $22 billion with a trading volume of $18 billion over the past day.

Utkarsh Gupta: Professional journalist with a proven experience of working in the online media industry. Experienced in Web Content Creation, Editing, Publishing, Journalism, and Creative Writing.