No truce during the holidays – While the financial markets doze during the holiday season, some have taken the opportunity to launch a offensive noticed. No truce for confectioners for the fund Valkyrie Investments who published between Christmas and New Year’s Day a document proposing to regain control of the bitcoin investment fund of Grayscale. This while those responsible for Grayscale Bitcoin Trust (GBTC) did not ask for anything and that the price breaks record low ! Back to a surprising proposal.
Valkyrie Investment proposes a recovery plan for the bitcoin investment fund
the December 28, on the company’s website Valkyrie Investmentsa document has therefore been made public by this investment specialist hybrid between traditional finance and digital assets. Based in Nashville, Tennessee, one of the big rivals of Grayscale finally went on the offensive during the holidays and offered to become sponsor and manager from GBTC.
The press release details by menu for what they are the best placed for this exercise and how much better they will do than their competitor. Selected pieces :
“We are well equipped to meet the unique challenges and opportunities presented by GBTC. Our combination of technical and regulatory knowledge as well as practical experience makes us the perfect choice to take on this role. In light of recent events involving Grayscale and its family of affiliates, it’s time for a change. »
The last sentence obviously refers to the complicated situation that Digital Currency Group who is the owner of Grayscale. The parent company of the fund is indeed suffering from serious financial problems following the collapse of FTX.
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Grayscale’s GBTC ready to pass into the hands of a rival?
Before even having an answer, Valkyrie created the Valkyrie Opportunistic Fund to take advantage of the next to massive increase in the GBTC and therefore in the difference between the net asset value (NAV) and the price of the asset. Indeed, the price of the GBTC moved away more 48% the price of BTC, which threatens the very sustainability of the structure.
Valkyrie declared aiming for an initial amount of 75 million dollars and has already put forward three measures to improve the potential management of the fund, the main points of which are as follows:
- Allow investors to redeem their actions at a fair price, without any delay or hindrance;
- to lower fees at a more equitable level that would be consistent with industry best practices;
- provide investors with redemptions both bitcoin and cash for greater flexibility.
The statement ends with a sentence that some might find provocative: “ we are committed to putting the interests of GBTC shareholders first and we have the experience and expertise to do so effectively”. To believe that this was not the case for the teams of Grayscale ! We are impatiently awaiting the latter’s response to find out what they will think of the proposal. The year is off to a decidedly bad start for Digital Currency Group including another company, Genesis Global Capital, attracts the wrath of some crypto personalities.
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