Bitcoin Pulls Back as BlockFi Goes Belly Up!
5,359 Views · Posted 2 years ago
The Financial Summit Dubai Nov 5-10: https://TheFinancialSummit.com
BitGet Affiliate for Demo Trading: https://partner.bitget.com/bg/financialsummit
Promo Video: https://www.youtube.com/watch?v=3rATkFrSTVs
Testimonial Video: https://www.youtube.com/watch?v=PHvhtJXkjNs
For Momentum Reversal Indicator (MRI) See https://tonevays.com/indicator
GBTC w/ Tyler Jenks: https://www.youtube.com/watch?v=R4oJngaKeQY
Thoughts on DCG, GBTC, Grayscale & Genesis:
Question: Is it a no brainer to buy GBTC if it's Fully Backed by Bitcoin in Coinbase Custody?
Answer: I believe the risk/reward ratio is great but it's not a simple as it sounds, it's hard to summarize it but basically DCG now holds 66 million GBTC shares issued by their subsidiary Grayscale, their other subsidiary Genesis is insolvent and is about this go bankrupt cause they lent out Billions to companies like FTX and 3AC and who knows what else cause "Shitcoiners gonna Shitcoin"...
the problem is that Genesis Also lent the parent company DCG $500 Million which they clearly used to buy GBTC when 3AC and BlockFi started selling their 70 Million shares combined... this was enough to prevent the discount on GBTC going under 50%....
But, and this is where the "No Brainer" part on buying GBTC is not simple.... that $500 Million loan might:
A - have legal liability for DCG
B - be forced to be paid back by DCG to Genesis Creditors if Genesis goes Bankrupt
Hence it's possible DCG would be forced to sell 66 Million Shares (or at least half that) just do the math... at $500/$10 share = 50 Million Shares, if that is the case that discount could hit 75%.
If you are willing to hold GBTC for the next 3+ years (aka into a new Bitcoin All Time High) then yes it's a good trade, otherwise you might shit your pants as there is a chance this Discount is gonna get way way bigger.
https://ToneVays.com Events --- Bitcoin: https://unconfiscatable.com/
Finance/Trading/Investing https://thefinancialsummit.com/
How to Use Bitcoin Tech: https://understandingbtc.com/
BitGet Affiliate for Demo Trading: https://partner.bitget.com/bg/financialsummit
Promo Video: https://www.youtube.com/watch?v=3rATkFrSTVs
Testimonial Video: https://www.youtube.com/watch?v=PHvhtJXkjNs
For Momentum Reversal Indicator (MRI) See https://tonevays.com/indicator
GBTC w/ Tyler Jenks: https://www.youtube.com/watch?v=R4oJngaKeQY
Thoughts on DCG, GBTC, Grayscale & Genesis:
Question: Is it a no brainer to buy GBTC if it's Fully Backed by Bitcoin in Coinbase Custody?
Answer: I believe the risk/reward ratio is great but it's not a simple as it sounds, it's hard to summarize it but basically DCG now holds 66 million GBTC shares issued by their subsidiary Grayscale, their other subsidiary Genesis is insolvent and is about this go bankrupt cause they lent out Billions to companies like FTX and 3AC and who knows what else cause "Shitcoiners gonna Shitcoin"...
the problem is that Genesis Also lent the parent company DCG $500 Million which they clearly used to buy GBTC when 3AC and BlockFi started selling their 70 Million shares combined... this was enough to prevent the discount on GBTC going under 50%....
But, and this is where the "No Brainer" part on buying GBTC is not simple.... that $500 Million loan might:
A - have legal liability for DCG
B - be forced to be paid back by DCG to Genesis Creditors if Genesis goes Bankrupt
Hence it's possible DCG would be forced to sell 66 Million Shares (or at least half that) just do the math... at $500/$10 share = 50 Million Shares, if that is the case that discount could hit 75%.
If you are willing to hold GBTC for the next 3+ years (aka into a new Bitcoin All Time High) then yes it's a good trade, otherwise you might shit your pants as there is a chance this Discount is gonna get way way bigger.
https://ToneVays.com Events --- Bitcoin: https://unconfiscatable.com/
Finance/Trading/Investing https://thefinancialsummit.com/
How to Use Bitcoin Tech: https://understandingbtc.com/
