It is remarkable to note the progress that the cryptocurrency sector has been able to make in the time that it had existed. A little over a decade ago, the only people who invested money in cryptocurrency were people on the internet who believed in its potential. Since then, cryptocurrency has seen its popularity steadily increase.
In the last few years, in particular, cryptocurrency has been able to break away from being an asset class purely for people on the internet. Instead, we have seen more institutions invest in various cryptocurrencies and more products and services being in the same vein.
It has been reported that Grayscale, a digital assets manager, has stocked up on a bulk of various cryptocurrencies. The cryptocurrencies in question are valued at $300 million and were purchased by the firm over the last 24 hours.
Grayscale Stocks Up
The announcement of the purchase was made by Grayscale CEO Barry Silbert via Twitter after the company formally updated its digital asset portfolio.
“Added a cool $300 million in assets under management in one day,” Silbert tweeted.
This update brings the company’s total assets under management to $7.3 billion. It is not surprising that the company is choosing to stock up on assets at this time. The price of bitcoin and several tokens have seen their value spike in the last few days.
This price spike is attributed to the announcement that PayPal is about to roll out cryptocurrency services to its 300 million users. This decision means that the industry is about to see a large influx of users and more adoption than ever before. Naturally, individuals are stocking up on cryptocurrency ahead of this impending event and it seems companies are doing so as well.
Grayscale Sees a Healthy Quarter
Despite the effects of the COVID-19 pandemic on the financial world, the cryptocurrency industry appears to be doing well. Just last week, Grayscale themselves announced that they had enjoyed their best quarterly results to date. In their reports for the third quarter of 2020, the company reported that they had seen inflows of $1.05 billion across all their products.
The most popular of these products was the Grayscale Bitcoin Trust, which saw inflows of $719.3 million during that period. With all this in mind, it is not surprising that the company is choosing to hedge their bets with more cryptocurrency.