Grayscale Introduces New Investment Offering
Grayscale Investments is offering investors a new investment opportunity called the Grayscale Digital Infrastructure Opportunities LLC (GDIO), to invest in Bitcoin mining hardware in the bear market.
GDIO is currently open to institutional investors and qualified individuals, even as the asset manager permits ETF-related court procedures to run their course.
Grayscale will use investor capital from the GDIO to purchase mining hardware for at least 3 years. It will utilize the hardware to sell and thusly mine bitcoin. The process of mining is energy-intensive and undertaken by a computer network to make another transaction block and check it.
Grayscale will earn part of the returns from its efforts and will be paid out four times a year to GDIO investors.
“Grayscale’s unique position at the center of the crypto ecosystem enables us to create offerings that allow investors to put capital to work through different market cycles,” stated Michael Sonnenshein, Grayscale’s chief executive.
GDIO addresses one more way the organization has looked to provide investors with exposure to BTC without directly holding the asset.
Investors can also buy shares from its GBTC trust and gain exposure to bitcoin through the legally regulated business of Grayscale in the United States.
Due to some problems in Grayscale, investors can't recover shares in the trust for BTC, and the price per share has dropped extremely, trading at a discount of 35% to its Net Asset Value.
At the end of the trading day on October 5, shares were trading at a shade more than $12, despite being supported by $18.45 worth of bitcoin.
CBW - External Analyst