Recent events have had a lot of impact on asset managers specializing in crypto. A lot of people thought the Genesis Capital announcement would hurt Grayscale, but it didn’t! Largest Asset Manager Reassures Customers Genesis Issues Do Not Affect Grayscale’s Digital Asset Product Operations in Any Way.
Suspensions of withdrawals and redemptions by Genesis Global Capital do not affect Grayscale
Grayscale reassured its investors via its twitter account. The largest asset manager explains that although Genesis Global Capital is a subsidiary of Grayscale, it is neither a counterparty nor a service provider of the company. More explicitly, the suspension of redemptions and new loans on Genesis will not impact its operations.
It also means that GBTC’s underlying assets and all products (including crypto) remain safe and secure. Even products on the exchange continue to trade.
Underlying assets and other products remain safe and secure
To allay the fear of its investors, Grayscale recalls that its underlying assets and its products are kept in separate portfolios in deep cold storage. For information, this is one of the most secure storage methods that currently exist in the field of crypto.
Grayscale also specifies that it does not borrow, lend, remortgage or encumber the underlying assets. Moreover, asset custodians may not under any circumstances engage in such activities (in any form whatsoever).
Other information confirmed by Grayscale: the links “ Regulatory Filings ” and ” TBT Documents » remain available for those wishing to have additional information on the company’s products, on the custody of assets or on service providers.
Despite the events of recent times, Grayscale is one of the asset managers that has held its ground. He did well to reassure his investors, as their confidence seemed to be weakening.
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