As of 4 pm EST today, Grayscale Ethereum Trust resumed the private placement of its shares. The Trust’s private placement is offered on a periodic basis throughout the year and is now available to accredited investors for daily subscription. $ETH https://t.co/wcwbhDmtYj pic.twitter.com/4RZWiQWpJn — Grayscale (@Grayscale) January 29, 2021
The Trust’s private placement is offered on a periodic basis throughout the year and is now available to investors for a daily subscription.
Many in the crypto community believe that this event has the potential to lead to an influx of money into ETH, sending the cryptocurrency to new all-time highs.
This also comes before the launch of ETH futures on the CME, which is scheduled to take place on Feb 8. CME is the world’s largest derivatives platform and is currently the largest market for Bitcoin Futures.
This is evidence of institutional investors increasingly taking positions in the crypto market, and with the addition of ETH Futures, they will soon be able to gain similar exposure to Ethereum.
This isn’t the only reason to be bullish on the second-largest crypto-asset, given that 4 billion worth of ETH is now locked in the ETH 2 deposit contract.
With the merge between ETH 1 and ETH 2 expected to take place next year, the ETH 2 monetary policy will begin to take effect.
According to the current ETH 2.0 spec, the issuance rate will be greatly reduced as a part of Proof of Stake. This, along with the introduction of EIP-1559 that burns miner fees, will add deflationary pressure to the asset.
ETH was $1,341 at the time of writing, down from its all-time high of $1473, after a volatile week.