Shares of Grayscale’s Chainlink Trust (GLINK) have seen an astonishing rise, now trading at a 200% premium over the underlying LINK tokens.

The remarkable surge in GLINK share value was highlighted by Chainlink community ambassador ChainLinkGod on November 7. The data indicates that the premium on GLINK shares, which represent investments in the Grayscale Chainlink Trust, has soared from around 100% to 200%, coinciding with Chainlink’s recent price rally.

The surge arrives as LINK’s price more than doubled in the past three weeks, riding the wave of the broader cryptocurrency market recovery. On September 18, LINK was trading at $6.14, and has since climbed to $13.13, as per data from CoinGecko.

Grayscale’s trust shares, including GLINK, are unique in that they cannot be redeemed for the actual digital asset they represent. This means that investors looking to exit their position in the trust can only do so by selling their shares to another buyer.

The dramatic increase in the premium was driven by a significant rise in the total value locked in GLINK, which has doubled to approximately $4 million. CoinShares noted that the trust received $2 million in inflows over the past week, indicating strong interest from sophisticated investors.

Meanwhile, Grayscale’s Bitcoin Trust shares (GBTC) have also outperformed, with a 200% increase year-to-date, compared to a 10% gain in Bitcoin itself over the same period.

Read Now: USDC stablecoin maker, Circle, targets 2024 for IPO

Leave a Reply

Your email address will not be published. Required fields are marked *