Crypto investment fund Grayscale reportedly holds nearly $5 billion worth of Ethereum (ETH). This makes it the second largest entity holding ETH in the world.
In short
- Grayscale accumulates ETH and becomes the second largest holder globally.
- The company’s Ethereum trust holds nearly $5 billion in cryptocurrency.
- The increase in Grayscale’s holdings could impact the price of the crypto.
Grayscale accumulates $5 billion worth of Ethereum
The crypto ecosystem has no limits for Grayscale. The company continues its exploits after its victory over the SEC last month. Currently, the crypto investment fund is the second largest holder of Ethereum in the world. According to a report from Arkham, he holds around 31.4 million ETH, equivalent to $4.9 billion.
Indeed, the funds has continued to accumulate crypto at a steady pace over the past few years. Today, the only entity that holds more ETH than Grayscale is the Ethereum Foundation. The latter holds around 33 million ETH, or nearly $5.2 billion. Remember that the Ethereum Foundation’s mission is to develop and maintain the network.
Furthermore, in addition to its ETH holdings, Grayscale Ethereum Trust (ETHE) also holds other crypto assets, including 3,590 bitcoin (BTC). The company owns $92.7 million worth of assets in total. And Arkham believes that these addresses are held by a variety of investors, including institutions, hedge funds and individuals.
ETHE holds more than 500 addresses
Arkham Intelligence is a crypto asset research company. In his report, it indicates that there are more than 500 wallet addresses linked to the Grayscale Ethereum Trust. These addresses would be used in particular to store the ETH held by the fund.
As a reminder, the company only held $1.5 billion worth of Ethereum in January 2021. If this amount reaches $5 billion today, it is because of the rise in the price of ETH since then.
However, it is important to note that it is not Grayscale that owns the company’s ETH holdings, as they are held by investors who purchased shares in the company. The company simply manages the trust and charges fees to investors.
In short, Grayscale’s increase in ETH holdings could impact the price of the crypto. Because if the company continues on this path, it could shake up the market. In the meantime, it remains to be seen how the Grayscale Ethereum Trust will survive the decline.
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