3 ms·

Here is a list of 20 companies buying Bitcoin recently: https://www.forbes.com/sites/michaeldelcastillo/2020/08/06/valuable-sec-data-on-20-institutional-bitcoi

Here is a list of 20 companies buying Bitcoin recently: https://www.forbes.com/sites/michaeldelcastillo/2020/08/06/valuable-sec-data-on-20-institutional-bitcoin-investors-could-soon-disappear/#6a77d3fe1de2 https://www.forbes.com/sites/michaeldelcastillo/2020/08/06/v... Keep in mind that 250 mil, and 250 mil times 20 is a drop in the $214.4 billion bitcoin market cap and doesn't move anything. Just a sign of mild interest. Furthermore, Grayscale just ran a crypto ad campaign on large TV networks such as Fox.

LittlePeter 6y ago
It depends over what time period those 21K bitcoins were bought. If they would have been bought within a day, there would absolutely be market impact (bitcoin price would increase by double digit percentages). The daily trade volume is mostly people passing bitcoin to each other. If a whale like MicroStrategy is actually taking them out of an exchange, things will dry up quickly. My guess the bitcoins were bought over a period of at least couple weeks, and probably using OTC trades as well.
- throw1234651234 6y ago
  As far as I understand, the companies in the list (didn't check if OP's company is included) are buying from Grayscale. Grayscale has been buying up BTC and ETH for years, but ramped it up recently (I want to say Q1/Q2, but don't quote me on that). So these orders are not hitting "the public market", it's coming from Grayscale inventory (not even that, since the companies aren't buying directly and taking custody). Also, good point on BTC supply being less than the 21 mil cap / whatever was mined already.
barbegal 6y ago
Not all of that market cap is liquid. I think it is safe to assume that a least 4 million bitcoins [1] or $50 billion of value is completely lost and over time that will grow as more and more coins are lost. [1] https://coinsutra.com/how-many-bitcoins/ https://coinsutra.com/how-many-bitcoins/
simonebrunozzi 6y ago
You are confusing market cap with stock/asset liquidity.

LittlePeter 6y ago

It depends over what time period those 21K bitcoins were bought. If they would have been bought within a day, there would absolutely be market impact (bitcoin price would increase by double digit percentages). The daily trade volume is mostly people passing bitcoin to each other. If a whale like MicroStrategy is actually taking them out of an exchange, things will dry up quickly. My guess the bitcoins were bought over a period of at least couple weeks, and probably using OTC trades as well.

throw1234651234 6y ago
As far as I understand, the companies in the list (didn't check if OP's company is included) are buying from Grayscale. Grayscale has been buying up BTC and ETH for years, but ramped it up recently (I want to say Q1/Q2, but don't quote me on that). So these orders are not hitting "the public market", it's coming from Grayscale inventory (not even that, since the companies aren't buying directly and taking custody). Also, good point on BTC supply being less than the 21 mil cap / whatever was mined already.

barbegal 6y ago

Not all of that market cap is liquid. I think it is safe to assume that a least 4 million bitcoins [1] or $50 billion of value is completely lost and over time that will grow as more and more coins are lost. [1] https://coinsutra.com/how-many-bitcoins/ https://coinsutra.com/how-many-bitcoins/

simonebrunozzi 6y ago

You are confusing market cap with stock/asset liquidity.