Grayscale’s Quarterly Revenue Was Flat Amid Bitcoin ETF Outflows
- GBTC’s management fee of 1.5% is higher than all its peers
- Fund has seen more than $17 billion in investor outflows
Grayscale Investments’s first-quarter revenue was flat after the issuer of the world’s largest cryptocurrency investment vehicle decided to hold the line on fees for its flagship Bitcoin exchange-traded fund.
The operator of the Grayscale Bitcoin Trust had $156 million in revenue, little changed from the fourth quarter, according to a shareholder letter from its parent company, Digital Currency Group. Grayscale has seen outflows of about $17.4 billion since the ETF was converted from a trust in January, according to data compiled Bloomberg, as some investors appear to have shifted assets from GBTC into new, lower-cost funds offered by companies such as BlackRock and Fidelity. GBTC charges a management fee of 1.5%, while most of its peers charge less than 0.3%.