- GTRYSCALE GBTC generated more annual income than all other US Spot BTC ETFs combined.
- However, the BTC from GBTC has fallen by around 70% since the ETF conversion in January 2024.
Despite the fact that it is the most expensive, gray values Bitcoin [BTC] Trust ETF (GBTC) has collected the total income collected by the rest of the American location BTC ETFs.
In an X (formerly Twitter) message, Nate Geraci from ETF Store marked That GBTC had an implicit turnover of $ 268 million compared to $ 211 million from combined collections by the other 11 products.
“Almost 16 months after Spot BTC ETFs was launched, GBTC still earns more $$$ than all other ETFs combined … and it’s not even around.”
Source: X
What is behind the dominance of GBTC?
After the debut in January 2024, GBTC from Grayscale saw the toughest out of which analysts were linked to investor flight to cheaper alternatives such as BlackRock’s Ishares BTC ETF.
Source: Coinglass
Before the debut, GBTC had around 619,000 BTC. Sixteen months later, the participations of the GBTC fell to 191,000 BTC, a decrease of almost 70% in the management of assets (AUM).
As is apparent from the data from Geraci, GBTC calculated the highest reimbursements of 1.5%, while the rest of the products had an average costs of 0.15%-0.94%. Yet GBTC dominated the total annual income.
According to Bloomberg ETF analyst Eric Balchunas, the costs of 1.5% of GBTC was considered On average in the traditional ETF market.
Other analysts, however, pointed out that most investors in GBTC were caught because of the heavy tax implications from switching to a cheaper alternative. Daniel Sempere, a business coach, stated”
“Paying the power gain to switch from GBTC is more painful than paying the extra costs, I think.”
Simply put, the high reimbursements and in captivity tax implications increased the GBTC income. However, can the expected approval of in kind repayment for ETFs influence the canal of GBTC?
According to experts, in kind exchange, with the help of BTC instead of cash, would lower the tax burden, especially for large investors. Although in kind in kind is tax efficiently, individual investors who are on massive non-realized profits will still be confronted with power gain tax.
That said, GBTC is in third place on the AUM front with $ 17.8 billion. The BlackRock -Ihares BTC ETF was at the top of the AUM list with $ 54.8 billion, followed by FBTC from Fidelity at $ 18 billion.
After the sinking in Q1 2025, the spot BTC saw ETFs renewed ask In April, with no less than $ 3 billion in inflow.
This increased the recovery of BTC to $ 94k, an increase of 26% compared to the low point of $ 74.5k. In the short term, the low support of $ 92k and $ 100k overhead mid-range resistance were important levels to view.
Source: BTC/USDT, TradingView