Grayscale Bitcoin Trust (BTC) Files 10-Q for Period Ended March 31, 2024

TL;DR

<b>Grayscale Bitcoin Trust (BTC) has submitted its Q1 2024 10-Q filing, detailing financial positions and key dates.</b>

AI Summary

Grayscale Bitcoin Trust (BTC) (GBTC) filed a Quarterly Report (10-Q) with the SEC on May 3, 2024. Grayscale Bitcoin Trust (BTC) filed its quarterly report (10-Q) for the period ending March 31, 2024. The filing covers the first quarter of 2024, with financial data as of March 31, 2024, and comparative data from December 31, 2023. Key dates mentioned include January 11, 2024, and January 9, 2024, related to specific events or filings. The report includes information on fair value inputs (Level 1, Level 2, Level 3) as of December 31, 2023, and March 31, 2024. Entities such as Grayscale Investments, LLC, DCG, and Coinbase Inc. are referenced in relation to the trust's operations and structure.

Why It Matters

For investors and stakeholders tracking Grayscale Bitcoin Trust (BTC), this filing contains several important signals. This 10-Q filing provides investors with the latest financial performance and asset valuation of the Grayscale Bitcoin Trust, crucial for understanding its current standing in the market. The inclusion of specific dates and entity references offers insight into the trust's operational timeline and its relationships with key players in the digital asset ecosystem.

Risk Assessment

Risk Level: low — Grayscale Bitcoin Trust (BTC) shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not contain immediate, significant new risks or financial disclosures beyond routine updates.

Analyst Insight

Monitor future filings for updates on Bitcoin holdings, trust performance, and any changes in management or operational structure.

Key Numbers

• 2024-03-31 — Period of Report (Quarterly report period)
• 2023-12-31 — Previous Period End (Comparative financial period)
• 2024-01-01 — Quarter Start Date (Q1 2024)
• 2024-01-11 — Key Date (Specific event date)
• 2024-01-09 — Key Date (Specific event date)

Key Players & Entities

• Grayscale Bitcoin Trust (BTC) (company) — Registrant
• Grayscale Investments, LLC (company) — Sponsor
• DCG (company) — Related entity
• Coinbase Inc. (company) — Sponsor Parent
• 2024-03-31 (date) — Quarterly period end date
• 2023-12-31 (date) — Prior period end date
• 212-668-1427 (phone_number) — Business phone number
• Delaware (location) — State of incorporation

FAQ

Risk Factors

• Regulatory Uncertainty [medium — regulatory]: The digital asset market is subject to evolving regulatory frameworks globally, which could impact the Trust's operations and the value of its Bitcoin holdings.
• Bitcoin Price Volatility [high — market]: The value of the Trust's primary asset, Bitcoin, is highly volatile and can experience significant price fluctuations, affecting the Net Asset Value (NAV).
• Custody and Security Risks [medium — operational]: Risks associated with the custody of Bitcoin, including potential security breaches or failures of custodians, could lead to loss of assets.

Key Dates

• 2024-03-31: Quarterly Period End — End of reporting period for the 10-Q

Filing Documents

• d817613d10q.htm (10-Q) — 577KB
• d817613dex311.htm (EX-31.1) — 11KB
• d817613dex312.htm (EX-31.2) — 11KB
• d817613dex321.htm (EX-32.1) — 4KB
• d817613dex322.htm (EX-32.2) — 4KB
• g817613g20k55.jpg (GRAPHIC) — 149KB
• g817613txb_20a.jpg (GRAPHIC) — 57KB
• g817613txb_20b.jpg (GRAPHIC) — 28KB
• g817613txb_20bb.jpg (GRAPHIC) — 52KB
• g817613txb_20c.jpg (GRAPHIC) — 30KB
• 0001193125-24-130893.txt (&nbsp;) — 3452KB
• gbtc-20240331.xsd (EX-101.SCH) — 30KB
• gbtc-20240331_cal.xml (EX-101.CAL) — 15KB
• gbtc-20240331_def.xml (EX-101.DEF) — 47KB
• gbtc-20240331_lab.xml (EX-101.LAB) — 154KB
• gbtc-20240331_pre.xml (EX-101.PRE) — 119KB
• d817613d10q_htm.xml (XML) — 358KB

Forward-Looking Statements

Forward-Looking Statements 1 Industry and Market Data 1

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION Item 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) 2 2 Schedules of Investment at March 31, 2024 and December 31, 2023 3 4 5 Notes to the Unaudited Financial Statements 6 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 15 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 20 Item 4.

Controls and Procedures

Controls and Procedures 21

– OTHER INFORMATION

PART II – OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 22 Item 1A.

Risk Factors

Risk Factors 22 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 22 Item 3. Defaults Upon Senior Securities 23 Item 4. Mine Safety Disclosures 23 Item 5. Other Information 23 Item 6. Exhibits 24 GLOSSARY OF DEFINED TERMS 25

SIGNATURES

SIGNATURES 30 Table of Contents

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q contains "forward-looking statements" with respect to the financial conditions, results of operations, plans, objectives, future performance and business of Grayscale Bitcoin Trust (BTC) (the "Trust"). Statements preceded by, followed by or that include words such as "may," "might," "will," "should," "expect," "plan," "anticipate," "believe," "estimate," "predict," "potential" or "continue," the negative of these terms and other similar expressions are intended to identify some of the forward-looking statements. All statements (other than statements of historical fact) included in this Quarterly Report that address activities, events or developments that will or may occur in the future, including such matters as changes in market prices and conditions, the Trust's operations, the plans of Grayscale Investments, LLC (the "Sponsor") and references to the Trust's future success and other similar matters are forward-looking statements. These statements are only predictions. Actual events or results may differ materially from such statements. These statements are based upon certain assumptions and analyses the Sponsor made based on its perception of historical trends, current conditions and expected future developments, as well as other factors appropriate in the circumstances. Whether or not actual results and developments will conform to the Sponsor's expectations and predictions, however, is subject to a number of risks and uncertainties, including, but not limited to, those described in "Part I, Item 1A. Risk Factors" of our Annual Report on Form 10-K and in "Part II, Item 1A. Risk Factors" herein. Forward-looking statements are made based on the Sponsor's beliefs, estimates and opinions on the date the statements are made and neither the Trust nor the Sponsor is under a duty or undertakes an obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances s

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION: Item1. Financial Statements (Unaudited) GRAYSCALE BITCOIN TRUST (BTC) (Amounts in thousands, except Share and per Share amounts) March 31, 2024 December 31, 2023 Assets: Investment in Bitcoin, at fair value (cost $ 4,001,652 and $ 7,016,906 as of March 31, 2024 and December 31, 2023, respectively) $ 23,860,071 $ 26,350,470 Total assets $ 23,860,071 $ 26,350,470 Liabilities: Sponsor's Fee payable, related party $ — $ — Bitcoin payable, at fair value 58,253 — Total liabilities 58,253 — Net Assets $ 23,801,818 $ 26,350,470 Shares issued and outstanding, no par value (unlimited Shares authorized) 375,970,100 692,370,100 Principal market net asset value per Share $ 63.31 $ 38.06 See accompanying notes to the unaudited financial statements. 2 Table of Contents GRAYSCALE BITCOIN TRUST (BTC) SCHEDULES OF INVESTMENT (UNAUDITED) (Amounts in thousands, except quantity of Bitcoin and percentages) March 31, 2024 Quantity of Bitcoin Cost Fair Value % of Net Assets Investment in Bitcoin 335,932.8104680 $ 4,001,652 $ 23,860,071 100 % Total Investment $ 4,001,652 $ 23,860,071 100 % Liabilities $ ( 8,951 ) $ ( 58,253 ) 0 % Net Assets $ 3,992,701 $ 23,801,818 100 % December 31, 2023 Quantity of Bitcoin Cost Fair Value % of Net Assets Investment in Bitcoin 619,525.9291702 $ 7,016,906 $ 26,350,470 100 % Net Assets $ 7,016,906 $ 26,350,470 100 % See accompanying notes to the unaudited financial statements. 3 Table of Contents GRAYSCALE BITCOIN TRUST (BTC) (Amounts in thousands) Three Months Ended March 31, 2024 2023 Investment income: Investment income $ — $ — Expenses: Sponsor's Fee, related party 94,878 71,085 Net investment loss ( 94,878 ) ( 71,085 ) Net realized and unrealized gain fr

View Full Filing

View this 10-Q filing on SEC EDGAR