Grayscale Bitcoin Trust (BTC) Q2 2024 Filing

TL;DR

**GBTC Q2 2024: Bitcoin holdings detailed, ETF conversion noted.**

AI Summary

Grayscale Bitcoin Trust (BTC) filed its 10-Q for the period ending June 30, 2024. The filing details the trust's investment in Bitcoin and its financial position. It also notes subsequent events, including a Bitcoin ETF conversion on July 19, 2024, and a significant subsequent event on July 31, 2024, related to the trust's Bitcoin holdings.

Why It Matters

This filing provides insight into the financial health and holdings of a major Bitcoin investment vehicle, impacting investor confidence and the broader cryptocurrency market.

Risk Assessment

Risk Level: medium — The value of the trust is directly tied to Bitcoin's price, which is highly volatile, and regulatory changes in the cryptocurrency space pose significant risks.

Key Numbers

• N/A — Total Assets (Specific dollar amounts for assets under management are not directly provided in this header-level data.)
• N/A — Net Income (Specific dollar amounts for net income are not directly provided in this header-level data.)
• N/A — Total Liabilities (Specific dollar amounts for liabilities are not directly provided in this header-level data.)

Key Players & Entities

• Grayscale Bitcoin Trust (BTC) (company) — Filer of the 10-Q
• Bitcoin (company) — Primary asset held by the trust
• 20240630 (date) — End of the reporting period
• 20240802 (date) — Filing date
• 2024-07-19 (date) — Date of Bitcoin ETF conversion
• 2024-07-31 (date) — Date of a significant subsequent event

FAQ

Filing Documents

• gbtc-20240630.htm (10-Q) — 1142KB
• gbtc-ex31_1.htm (EX-31.1) — 20KB
• gbtc-ex32_1.htm (EX-32.1) — 7KB
• img104056262_0.jpg (GRAPHIC) — 471KB
• img104056262_1.jpg (GRAPHIC) — 295KB
• img104056262_2.jpg (GRAPHIC) — 225KB
• img104056262_3.jpg (GRAPHIC) — 250KB
• img104056262_4.jpg (GRAPHIC) — 198KB
• 0000950170-24-089612.txt ( ) — 7109KB
• gbtc-20240630.xsd (EX-101.SCH) — 414KB
• gbtc-20240630_htm.xml (XML) — 732KB

Forward-Looking Statements

Forward-Looking Statements 3 Industry and Market Data 3

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION Item 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) 4 4 Schedules of Investment at June 30, 2024 and December 31, 2023 5 6 7 Notes to the Unaudited Financial Statements 8 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 19 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 29 Item 4.

Controls and Procedures

Controls and Procedures 29

– OTHER INFORMATION

PART II – OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 30 Item 1A.

Risk Factors

Risk Factors 30 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 30 Item 3. Defaults Upon Senior Securities 32 Item 4. Mine Safety Disclosures 32 Item 5. Other Information 32 Item 6. Exhibits 32 GLOSSARY OF DEFINED TERMS 33

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

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION: Item1. Financial Statements (Unaudited) GRAYSCALE BITCOIN TRUST (BTC) (Amounts in thousands, except Share and per Share amounts) June 30, 2024 December 31, 2023 Assets: Investment in Bitcoin, at fair value (cost $ 3,473,743 and $ 7,016,906 as of June 30, 2024 and December 31, 2023, respectively) $ 17,076,072 $ 26,350,470 Total assets $ 17,076,072 $ 26,350,470 Liabilities: Sponsor's Fee payable, related party $ - $ - Total liabilities - - Net assets $ 17,076,072 $ 26,350,470 Shares issued and outstanding, no par value (unlimited Shares authorized) 310,510,100 692,370,100 Principal market net asset value per Share $ 54.99 $ 38.06 See accompanying notes to the unaudited financial statements. 4 GRAYSCALE BITCOIN TRUST (BTC) SCHEDULES OF INVESTMENT (UNAUDITED) (Amounts in thousands, except quantity of Bitcoin and percentages) June 30, 2024 Quantity of Bitcoin Cost Fair Value % of Net Assets Investment in Bitcoin 275,734.98616801 $ 3,473,743 $ 17,076,072 100 % Total Investment $ 3,473,743 $ 17,076,072 100 % Net assets $ 3,473,743 $ 17,076,072 100 % December 31, 2023 Quantity of Bitcoin Cost Fair Value % of Net Assets Investment in Bitcoin 619,525.92917020 $ 7,016,906 $ 26,350,470 100 % Net assets $ 7,016,906 $ 26,350,470 100 % See accompanying notes to the unaudited financial statements. 5 GRAYSCALE BITCOIN TRUST (BTC) (Amounts in thousands) Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Investment income: Investment income $ - $ - $ - $ - Expenses: Sponsor's Fee, related party 72,005 87,601 166,883 158,686 Net investment loss ( 72,005 ) ( 87,601 ) ( 166,883 ) ( 158,686 ) Net re

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View this 10-Q filing on SEC EDGAR