Bitcoin Investment Trust: $65,856,195 Invested
Update: Includes Information on Kinetics Mutual Fund Family Investment
FORM D Notice of Exempt Offering of Securities was filed on Friday, March 4, 2016 with Total Amount Sold as $65,856,195:
One Year ago in March 2015 the same filing listed the Total Amount Sold as $61,915,960:
Assuming that we can do simple math here (and this is an assumption on my part) 3.940235 million US$ has been invested in trust since last year.
Those that invest with the Trust can choose to “cash out” through the $GBTC vehicle which is similar an ETP or Exchange Traded Product (often confused with an ETF or Exchange Traded Fund).
I’m not sure if my math takes into account those cashing out. If not, the number invested since last year would be larger than my 3.94 figure…
On Friday GBTC closed at $52 (down about 3%) http://www.otcmarkets.com/stock/GBTC/quote Multiplying the price by 10 or $520 is the approximate price that GBTC was valuing Bitcoin at the close. Windex valued Bitcoin at approximately $415 Friday afternoon. This is a premium of about 25%. According to Grayscale Bitcoin per Share of GBTC is actually 0.09525097
A great podcast interview to learn more about the Bitcoin Investment Trust check out Rob Mitchell’s The Bitcoin Game #23 — Mainstream Investing with the Bitcoin Investment Trust
UPDATE:
Yesterday I tweeted that Kinetics family of Mutual funds has invested in GBTC:
This appears to be the first mutual fund to make such an investment.
In September 2015 it was announced that “ARK Invest Becomes First Public Fund Manager to Invest in Bitcoin” becoming the first ETF to invest in Bitcoin (via GBTC).
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Please note the author has a position in GBTC. This is not a recommendation to buy or sell a security.
