Genesis Court Approval for GBTC Stock Sale Won't Affect Market: Coinbase
Date: 2024-02-18 Author: Dima Zakharov Categories: BUSINESS
Coinbase's Assessment
Coinbase, a leading cryptocurrency exchange, has addressed the recent court approval received by Genesis for the sale of GBTC shares in its report. Experts at the exchange believe that this move won't drastically influence the market.
Genesis's Court Approval
Genesis, a cryptocurrency lender, has obtained court approval to sell a portion of its GBTC shares from Grayscale Investments, valued at $1.3 billion. Coinbase assures that the sale of this stake won't lead to a significant capital outflow from the market.
Market Impact Forecast
According to Coinbase, the majority of the capital from the sale is likely to remain within the cryptocurrency ecosystem, resulting in a neutral effect on the market. Whether Genesis converts the shares into underlying assets or sells the securities directly, experts predict minimal impact due to the current bullish trend in the spot bitcoin ETF segment and the overall cryptocurrency market.
Upcoming Developments
The next hearing regarding this matter is scheduled for February 26, 2024. Despite the ongoing outflow from GBTC, the spot bitcoin ETF segment witnessed a capital inflow on February 15, 2024, marking a positive trend amidst market fluctuations.
