1/ A [Legit] Billion Dollars Could be Funneling Into Ethereum Starting Today

There’s a going to be a large volume of ETHE, Greyscale Trust’s unlocking on January 5th, 2021.

ETHE are OTC shares that track the ETH market price, less fees and expense.

2/ The equivalent of 1,200,000 ETH ($1.3 Billion USD) is going to become available for sale by investors whose locking period has expired.

“This is going to be bad”

Well, there is a scenario where it could be VERY good for Ethereum in the case we are going to cover.

3/ I came across a great thread on this topic from @brothermuozone

https://twitter.com/BrotherMuozone/status/1343277773201100801?s=20

----What is the next move for ETHE sellers?

As Muozone points out, there are likely a few types of ETHE sellers.

4/ I’m not sure where he got the numbers here, but it makes some sense to me at a glance: https://twitter.com/BrotherMuozone/status/1343277785037426688?s=20

5/ We’re not interested in predicting exact number or percentages of this unlocking, but I do believe we’re going to see hundreds of millions follow the path where outlining below.

What’s that path?

6/ The simplest explanation: ETHE holders can now freely sell their ETHE at a premium on the OTC market and use those proceeds to buy real ETH cheaper.

And once they’re in ETH, they can generate much greater returns with their ETH than they can with the ETHE.

“How?”

DeFi.

7/ Downstream to DeFi

Adding to Brother Muozone’s assessment, I’m looking at how it will affect the rest of the Ethereum blockchain space.

I go into a little more in my article here: https://chainwave.substack.com/p/a-legit-billion-dollars-could-be