Record ‘Grayscale Discount’ Might Mean Bargain Bitcoin for Retail Traders

Record ‘Grayscale Discount’ Might Mean Bargain Bitcoin for Retail Traders

A closely tracked ratio in cryptocurrency markets known as the “Grayscale premium” flipped earlier this year to a discount, and it widened this week to a gaping 21%, the most on record, according to Skew.

But for retail traders, or anyone with access to a stock-brokerage account, the growing disparity might present an opportunity to buy bitcoin in the cheap, analysts say.

The Grayscale Bitcoin Trust (GBTC), from the crypto asset manager Grayscale, is the largest U.S. investment vehicle for buying bitcoin (BTC) via a stock exchange. The Grayscale discount represents the difference between the price of the underlying bitcoin assets and the value that’s implied from the price of the trust’s shares. (Grayscale is owned by Digital Currency Group, of which CoinDesk is an independent subsidiary.)