How does Grayscale Bitcoin Trust (BTC) work?

3 answers

• Seif HamedApr 12, 2025 · 5 months ago
  Grayscale Bitcoin Trust (BTC) is a financial product offered by Grayscale Investments that allows investors to gain exposure to Bitcoin without actually owning it. It works by pooling investors' funds and using them to buy and hold Bitcoin. The trust issues shares to investors, who can then buy and sell these shares on the stock market. The value of the shares is directly linked to the price of Bitcoin, so as the price of Bitcoin goes up or down, the value of the shares also fluctuates. This allows investors to benefit from the price movements of Bitcoin without having to deal with the complexities of buying, storing, and securing actual Bitcoin.
  654

  327
• Kadyr GurbanowMar 15, 2021 · 4 years ago
  Grayscale Bitcoin Trust (BTC) is like a mutual fund for Bitcoin. It offers a convenient way for investors to gain exposure to Bitcoin without the need to buy and store the cryptocurrency themselves. The trust holds a large amount of Bitcoin and issues shares to investors. These shares can be bought and sold on the stock market, providing investors with a liquid and regulated way to invest in Bitcoin. The trust also handles the storage and security of the Bitcoin, relieving investors of the responsibility of safeguarding their own holdings. Overall, Grayscale Bitcoin Trust (BTC) provides a simple and secure way for investors to participate in the potential upside of Bitcoin.
  682

  228
• OrangeQuackAug 30, 2022 · 3 years ago
  Grayscale Bitcoin Trust (BTC) is a popular investment vehicle for those who want exposure to Bitcoin without the hassle of actually owning and managing the cryptocurrency. It offers a regulated and transparent way to invest in Bitcoin, as it is listed on the stock market and subject to the same rules and regulations as other financial products. The trust holds a significant amount of Bitcoin and issues shares to investors, allowing them to easily buy and sell Bitcoin exposure. This makes it an attractive option for both individual and institutional investors who want to diversify their portfolios and potentially benefit from the growth of the cryptocurrency market.
  673

  169