Data: Institutional investors pay up to 426% premium for grayscale Ethereum trusts

Digital Currency Group subsidiary Grayscale Investment has a very high crypto product transaction premium. As of press time, the premium of the Gray Bitcoin Trust (GBTC) has surged by more than 17%. The premium dropped to 24% last week. Currently, grayscale Bitcoin Trust investors pay more than $ 10.50 for underlying assets worth $ 9.85.
In contrast, gray-scale Ethereum Trust Fund (ETHE) investors paid a net asset premium of 426%. Earlier last week, investors paid up to $ 112 for an underlying asset worth only $ 21.29. Each gray scale Ethereum trust fund is equivalent to 0.09485996 ETH.


Demand for Ethereum comes from institutional investors, as 71% of the company's capital inflows come from this group. Last year, Ryan Alfred, president of Digital Assets Data, stated that Wall Street investors are accustomed to holding assets for their custodians, and the premium goes like this: "You are willing to pay the amount you do n’t keep your private key but still get the underlying risk exposure "The premium of grayscale encryption products may be affected by this. Arcane Research explained that the premium may also be due to the lock-in period of gray products, which imposes "structural limits" on arbitrage.