GBTC ETF is significantly underperforming Bitcoin. GBTC’s 2% expense ratio is generating $740 million in annualized fee income for its management!

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Ref: www.barrons.com/articles/grayscale-bitcoin-trust-fund-etf-price-51637689328

With $37 billion in assets, the Grayscale trust GBTC is the world’s largest Bitcoin fund. It towers over every other fund on the market. Investors have flooded into the Grayscale trust because it owns Bitcoin directly. Its largest holder is Ark Invest, the fund shop run by Cathie Wood, which has invested $375 million in the trust, including assets held in its Ark Next Generation ETF (ARKW).

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Shares of the trust, which trade over the counter, are up 42% this year versus a 95% gain for Bitcoin, through Oct. 29.

“Investors that crowded into GBTC, buying at a premium, really got burned,” says Morningstar analyst Bobby Blue.

Yet, GBTC management made a killing!

h/t vulcan_on_earth

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