By Richard Hines
Following the refusal of Grayscale Investments to go public with the on-chain proof of reserves because of “security reasons,” Coinbase has released a detailed report on the assets it is holding for Grayscale.
Coinbase Releases Report, About 635K Bitcoin Held For Grayscale
According to the report made public by Coinbase Exchange, Grayscale holds about 635K bitcoin.
It is evident from the report released by Coinbase that the holdings are different from other funds. Also, it is worthy of notice that the report does not contain any on-chain addresses.
As of the time of the release of the report, the number of bitcoins held in the trust was worth around 10 billion dollars. Considering when the state of the market was way better, the total value of Bitcoin would have resulted in about $43 billion.
In addition to the bitcoin held, the report also made it clear that Grayscale also owns some Ethereum in the Grayscale Ethereum Trust, to the tune of 3,056,833 ETH. The worth of which is about $3.3 billion.
Aside from these two assets held by the business intelligence firm, it appears that the firm also holds smaller quantities of both Bitcoin and Ethereum in the Grayscale Digital Large Cap Fund, which is completely different from the original trust.
This report has continued to generate a host of reactions from users as well as onlookers in the crypto industry, especially in light of Grayscale’s refusal to go public with its on-chain proof of reserves.
Is Grayscale On The Verge Of Folding Up?
Rightly so, the question on the lips of everyone following the string of events with Grayscale has been whether the business-intelligence firm, which also doubles as a Bitcoin investor, is on the verge of bankruptcy.
Seeing the reluctance of Grayscale to go public with its on-chain proof of reserves and with the recent drop in price of the bonds issued by the firm, this particular question has been on everyone’s lips.
The “security reason” excuse given by Grayscale has done little to no help to placate the fears of the investors.
Generally, whether or not the rumours of Grayscale going bankrupt are true, the situation remains that the fall of FTX has done a considerable amount of harm to a couple of other crypto exchanges and to the crypto industry itself.