Cryptocurrencies

Biggest Bitcoin Fund Sinks to Record Discount as Mania Cools

GBTC price trades 3.8% below the value of its underlying coins
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By Katie Greifeld

February 25, 2021 at 10:36 PM UTC

Updated on

February 26, 2021 at 4:17 PM UTC

This article is for subscribers only.

The world’s largest Bitcoin fund is selling off faster than the cryptocurrency itself as investors rush to the exits.

The $31.6 billion Grayscale Bitcoin Trust (ticker GBTC) plunged 22% this week, outpacing a 17% decline in the world’s largest cryptocurrency. That’s evaporated GBTC’s once-massive premium to the Bitcoin it holds, with the price of GBTC closing 3.8% below the value of its underlying holdings on Thursday -- a record discount, according to data compiled by Bloomberg.