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Grayscale Bitcoin Trust ($GBTC) increased its bitcoin holdings to 654,600.13 in Q1, up 8% from the end of 2020, according to SEC filings reviewed by Crypto Investor. 

The total value of Grayscale’s bitcoin holdings now stands at $38.4 billion. That's an increase of 116.9% compared to the $17.7 billion in BTC holdings it reported at the end of last year. 

Grayscale, run by chief executive Michael Sonnenshein, has been under pressure from hedge fund managers, family offices and other institutions to bolster the premium $GBTC has been trading at relative to the cost of bitcoin. 

Grayscale declined to comment. 

An earlier version of this story incorrectly stated that Grayscale Bitcoin Trust posted a $144.3M loss in Q1. The SEC 10Q forms for trusts, like GBTC, list sponsor fees as investment losses. The story since been updated.

Much of the increase appears to have stemmed from Bitcoin's price appreciation since the end of 2020. 

Case in point: Although Grayscale did beef up its overall bitcoin holdings, the rate at which the asset manager is buying bitcoin has slowed significantly, according to the May 7 SEC filing reviewed by Crypto Investor.  

Sonnenshein and his team have also been looking to diversify Grayscale's business lines, including announcing a partnership with the New York Giants this week. 

GBTC has been trading at a consistent steep discount to the price of Bitcoin for more than a month. One Wall Street source with knowledge of Grayscale's dealings said the popular institutional trust is "broken for now." 

But the source added that the 15% discount for GBTC recently won't be around forever, suggesting buying the trust as a value play. 

In the fourth quarter of 2020, the firm increased its quantity of bitcoin by 35% compared to the third quarter.

Grayscale Bitcoin Trust ($GBTC) increased its bitcoin holdings to 654,600.13 in Q1, up 8% from the end of 2020, according to SEC filings reviewed by Crypto Investor. 

The total value of Grayscale’s bitcoin holdings now stands at $38.4 billion. That's an increase of 116.9% compared to the $17.7 billion in BTC holdings it reported at the end of last year. 

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