Wealthfront partners with Grayscale on Bitcoin and Ethereum trusts

Wealthfront is a California-based asset management company with over $ 25 billion in custody. However, cryptocurrencies have piqued the company’s interest as it aims to offer investors a wide range of investment products along the line of cryptocurrencies. Ethereum relies on the flagship cryptocurrency Bitcoin and the largest altcoin by market capitalization. Ethereum is currently being considered by Wealthfront.

By providing the two crypto assets, Wealthfront hopes to achieve this with the help of Grayscale. Grayscale Investments has become popular due to its Bitcoin Trust, in which it reportedly holds over 650,000 BTC. To expand its portfolio, Wealthfront Grayscale will include Bitcoin Trust (GBTC) and Ethereum Trust (ETHE).

Wealthfront ensures users an easy investment in Grayscale Trusts

With the latest move by Wealthfront, it is positioning itself as the first company in its industry to offer such a service in its expanded portfolio. Wealthfront also offers a number of automated features such as robo trading, tax sensitive rebalancing, and many others. Customers earn an APR of 2% – 8% with other investment products.

Announcing its now expanded portfolio, Wealthfront found that its users can now invest in both digital assets (BTC and Ethereum) without having to worry about storing the assets. Wealthfront is committed to taking the burden off its users from researching, setting up a wallet and then trying to monitor their digital assets. This allows them to invest in both trusts via accounts on the platform instead of buying the assets themselves.

After that, users can only dedicate ten percent of their total portfolio to both trusts. This is to protect investors’ money as such investments can involve numerous risks.

Wealthfront isn’t the only investment firm that has expressed interest in joining Grayscale Bitcoin and Ethereum Trusts. Last week, Rothschild Investments also bought around 14,000 shares in the Grayscale Ethereum Trust.

Shades of gray set the pace for institutional investors

It’s hard not to acknowledge Grayscale’s dominant role as institutional investors scrambled to get a piece of the pie from Bitcoin and other crypto assets. Grayscale has the largest holdings of Bitcoin, followed by software giant MicroStrategy and a few others. Bitcoin Trust unlocking in grayscale is one of the most anticipated events in the crypto space. A release on July 21st after a six-month blocking period led to selling pressure in the market.

In its cryptocurrency fund, Bitcoin makes up over 65% of its crypto holdings. Ethereum ranks second, while Cardanos ADA recently took third place after the wealth management firm doubled its holdings. Other cryptocurrencies are EOS, Bitcoin Cash, Ethereum Classic. Grayscale also has its eye on a Bitcoin ETF in the US, which resulted in a partnership with BNY Mellon, as a Bitcoin ETF is a must-have for Grayscale, according to the company’s CEO, Micheal Sonnenshein.

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