{"id":355504,"date":"2021-10-20T18:45:00","date_gmt":"2021-10-20T15:45:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/grayscale-parent-company-expands-gbtc-purchase-allocation-to-1-billion\/"},"modified":"2021-10-20T18:45:00","modified_gmt":"2021-10-20T15:45:00","slug":"grayscale-parent-company-expands-gbtc-purchase-allocation-to-1-billion","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/grayscale-parent-company-expands-gbtc-purchase-allocation-to-1-billion\/","title":{"rendered":"# Grayscale parent company expands GBTC purchase allocation to $1 billion"},"content":{"rendered":"

“# Grayscale parent company expands GBTC purchase allocation to $1 billion <\/strong>”
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According to an announcement<\/a> issued on Wednesday, DCG is now authorized to buy up to $1 billion worth of Grayscale Bitcoin Trust (GBTC).<\/p>\n

This development extends DCG\u2019s prior authorization by $250 million if they choose to do so. Indeed, DCG has so far purchased $338 million in GBTC, according to the company\u2019s announcement on Wednesday.<\/p>\n

As previously reported by Cointelegraph, DCG had purchased $193.5 million worth of GBTC shares back in May 2021. At the time, the firm\u2019s GBTC purchase limit stood at $250 million.<\/p>\n

As part of the announcement, DCG revealed that it plans to use cash on hand to facilitate the purchase on the open market under the provisions enshrined in Rule 10b-8 of the Exchange Act.<\/p>\n

DCG\u2019s announcement comes on the heels of plans by Grayscale to convert its GBTC product to a Bitcoin (BTC) exchange-traded fund (ETF).<\/p>\n

However, such plans depend on the United States Securities and Exchange Commission (SEC) softening its stance on Bitcoin ETFs.<\/p>\n

Related: <\/em><\/strong>Grayscale confirms Bitcoin ETF plans and adds exposure to Zcash, Stellar Lumens and Horizen to its trusts<\/em><\/strong><\/p>\n

SEC chairman Gary Gensler has already spoken in favor of BTC-related ETFs backed by Bitcoin futures rather than those based on the spot price of the cryptocurrency.<\/p>\n

Gensler\u2019s comments were part of remarks by the SEC chairman on issues raised about the ProShares\u2019 Bitcoin Strategy ETF that made history on Tuesday as the first BTC-related ETF to launch in the U.S. market.<\/p>\n

Apart from its future Bitcoin ETF plans, Grayscale has also added more cryptocurrencies to its catalog of investment products.<\/p>\n

Earlier in October, Zcash (ZEC), Stellar Lumens (XM), and Horizen (ZEN) became the latest addition to the firm\u2019s suite of altcoin trusts.<\/p>\n

Grayscale Investment\u2019s parent company \u2014 Digital Currency Group (DCG) \u2014 has extended its purchase allocation for the former\u2019s Bitcoin Trust product.<\/p>\n