Grayscale’s recorded its lowest daily outflow since becoming an ETF, with just $44.2 million on February 23. 💧
The decrease in outflows marks a potential turning point for GBTC, which has experienced a total of $7.4 billion in outflows to date. In contrast, other funds like Blackrock and Fidelity have seen substantial inflows, totaling $6.6 billion and $4.7 billion, respectively.
However, the landscape for GBTC remains challenging, as a recent bankruptcy court decision has authorized the sale of $1.3 billion in GBTC shares by the bankrupt lender Genesis to repay its creditors but Digital Currency Group (DCG, Grayscales’ parent), is contesting the decision. DCG’s objection centers on the valuation method for Genesis creditors’ claims, advocating for a valuation based on crypto prices at the time of the bankruptcy filing. 📉