Grayscale To Extend Cryptocurrency Fund Offering Across European Market

According to Bloomberg Grayscale Investments, a digital asset manager, is to extend its product offerings into Europe to capitalize on the region’s growing institutional demand for cryptocurrencies, according to CEO Michael Sonnenshein.

Grayscale’s expansion intentions are still a mystery. It is unknown which countries it will target or what products will be included in its offering.

CEO Michael Sonnenshein claims that the company’s strategy will be “very methodical,” with a concentration on various European financial hubs. With around $35 billion in assets under management, Grayscale, a subsidiary of Barry Silbert’s Digital Currency Group, runs the show in the United States. However, due to fierce competition, it will most likely fail to get a major share of the European market.

The Grayscale Bitcoin Trust, which trades under the symbol GBTC, has a market capitalization of roughly $25.8 billion. Meanwhile, the recently formed smart contract fund, which does not include Ethereum, has already amassed over $3.7 million in assets under management.

VanEck, CoinShares, and 21Shares AG, for example, have a host of European exchange-traded products that monitor the value of Bitcoin, Ethereum, and even some exotic altcoins. These products are in charge of more than $7.1 billion in assets.

According to Bloomberg, the European market currently includes over 80 crypto exchange-traded products, with 60 of them launched before 2022.

Grayscale is presently battling hard in its home market to transform its Bitcoin trust into a spot-based exchange-traded fund. To influence the Securities and Exchange Commission before it reveals its decision, the firm recently modified its application. In the event of a refusal, Grayscale stated that it will sue the regulator.

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