Bill Miller plans $400M Bitcoin investment via GBTC

Hedge fund legend Bill Miller shows an even greater appetite for bitcoin (BTC). According to Friday’s SEC filing, The Miller Opportunity Trust wants to get indirectly involved in BTC through Grayscale Bitcoin Trust.

The proposed investment comes at a time when the GBTC premium is at its lowest level since April 2019.

If the purchase of GBTC shares goes ahead, it would represent a significant change for the $2.25 billion fund from traditional investments in equities and derivatives. The trust’s website lists airlines, healthcare and finance as the main areas of investment.

Since the fund’s exposure to bitcoin is limited to 15% of assets under management, GBTC’s costs could exceed $300 million. As part of the statement, the Trust commented on price volatility: The use of bitcoins in retail is relatively small compared to the relatively large use of bitcoins by speculators.

Miller himself is a well-known supporter of bitcoin. In 2016, the legendary Wall Street investor invested 30% of his hedge fund in bitcoin. Since then, that share has risen to over 50%, and the BTC game has contributed to a huge increase in the value of Miller’s hedge fund.

Last January, Miller famously contrasted Warren Buffett’s rat poison with his. The comments echo comments from 2018 by Pantera Capital CEO Dan Morehead, who said something like bitcoin is rat poison because banks are rats.

Bitcoin recently reached $40,000 over the weekend, its highest price level in nearly a month. The move above $40,000 was met with a quick return below $38,000, however, with the largest crypto-currency capitalization falling nearly 2% in the last 24 hours of trading.

frequently asked questions

Is GBTC a good way to invest in bitcoin?

Although GBTC is a pure bitcoin trust, the unit price of GBTC does not exactly match the price of the underlying bitcoin. … However, it is the fastest way for stock market investors to gain exposure to cryptocurrencies without having to buy their own bitcoins. That’s because regulators have not yet approved the bitcoin ETF.

What is the premium of GBTC over Bitcoin?

GBTC has traditionally traded at a high premium to the underlying bitcoin, with an average premium of 15.02% since inception.

How much of Bitcoin is GBTC?

In October 2018, each GBTC share was worth less than 0.001 bitcoin. This means that it takes more than 1,000 GBTC shares to own one bitcoin.

Related Tags:

bill miller stock market,bill miller wife,fund manager bill miller,bill miller fund,bill miller legg mason net worth,bill miller miller value partners,Feedback,Privacy settings,How Search works,See more,Bill Miller,American investor,Fund manager Bill Miller,bill miller and value trust,bill miller yacht

Recent Articles

Bitcoin Price Captures a $64,895 High, Pantera CEO Says ‘BTC Rally Exactly Like Previous Halvings’ – Markets and Prices Bitcoin News

Over the past 24 hours, cryptocurrency markets have exploded, with billions of dollars flowing into the crypto economy. Bitcoin reached a new all-time high...

NFTs Come to Live in Uquid Shop as NFTD – Press release Bitcoin News

Press Release PRESS RELEASE. Uquid Shop, the largest e-commerce platform using digital assets, is ready to buy and sell digital art, social and digital content,...

Defi Trading Platform Support 100X Leverage. No KYC. No Gas Fee – Press release Bitcoin News

Press releaseNo gas tax PRESS RELEASE. YFX.COM is the world’s first decentralized inter-chain exchange for perpetual contracts. Although there are other trading platforms that offer...

US Government Concerned China’s Digital Yuan Could Threaten Dollar as the World’s Dominant Reserve Currency

The US government is reportedly concerned that China’s digital yuan could threaten the status of the US dollar as the world’s leading reserve currency....

South Korean crypto traders are pivoting to ‘smaller cap’ altcoins

South Korea’s four major cryptocurrency exchanges – Bithumb, Korbit, Upbit and Coinone – are showing a notable cooling in their exposure to bitcoin (BTC). At...

Related Stories