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The largest Bitcoin tickers down $16,550 institutional investment vehicle is coming under suspicion as it trades at a record discount.

The Grayscale Bitcoin Trust (GBTC) is the latest Bitcoin industry entity to feel the heat from the debacle over the defunct exchange FTX.

With contagion and fears over a deeper market rout everywhere in Bitcoin and altcoins at present, misgivings are impacting even the best-known — and trusted — crypto industry names.

In recent days, it was the turn of GBTC, the long-embattled Bitcoin investment fund, amid problems at a related crypto firm, Genesis Trading.

As Cointelegraph reported, parent company Digital Currency Group (DCG), as well as operator Grayscale itself, swiftly sought to reassure investors and the market that its flagship product was financially watertight.

This did not appear enough to satisfy nerves, however, leading to additional public declarations of faith in DCG and GBTC.

Among them was Coinbase Institutional, the institutional investment arm of major exchange Coinbase.

“Nothing is more important than ensuring our clients’ assets are safe,” it tweeted on Nov. 17:

“With 10 years of expertise building a secure and compliant custody solution, Coinbase Institutional is proud to provide segregated cold storage custody services with our Qualified Custodian.”

GBTC’s image has been under strain for some time. Since 2021, it has traded at a discount to the BTC spot price, a discount which is now approaching 50%.