A profitable ecotourism industry has arisen around this species involving organized "shark feeds", in which groups of reef sharks are attracted to divers using bait. Some US$6,000,000 is spent annually on shark viewing in the Bahamas, where at some sites a single living Caribbean reef shark has a value between US$13,000 and US$40,000 (compared to a one-time value of US$50–60 for a dead shark).[14] This practice has drawn controversy, as opponents argue that the sharks may learn to associate humans with food, increasing the chances of a shark attack, and that the removal of reef fishes for bait may damage the local ecosystem. Conversely, proponents maintain that shark feeds contribute to conservation by incentivizing the protection of sharks and educating people about them. Thus far, there has been little evidence that shark feeds have increased the risk of attack in the surrounding area.[8][15] Shark feeding has been outlawed off the coast of Florida, but continues at other locations in the Caribbean.[4]
Socially, they are mostly loners unless living in a threatening ecosystem. These are the first and the only species of sharks that are known to “sleep” on the ocean floor or within reef caves. It is believed that these sharks are not actually sleeping but merely resting. These sharks have actually been given the nickname “sleeping sharks” because of their habit of lying motionless at the sea bottom. This is a somewhat unusual and unique behavior of these sharks.
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Generally a coastal, shallow-water species, grey reef sharks are mostly found in depths of less than 60 m (200 ft).[11] However, they have been known to dive to 1,000 m (3,300 ft).[2] They are found over continental and insular shelves, preferring the leeward (away from the direction of the current) sides of coral reefs with clear water and rugged topography. They are frequently found near the drop-offs at the outer edges of the reef, particularly near reef channels with strong currents,[12] and less commonly within lagoons. On occasion, this shark may venture several kilometers out into the open ocean.[4][11]
Most observed displays by grey reef sharks have been in response to a diver (or submersible) approaching and following it from a few meters behind and above. They also perform the display towards moray eels, and in one instance towards a much larger great hammerhead (which subsequently withdrew). However, they have never been seen performing threat displays towards each other. This suggests the display is primarily a response to potential threats (i.e. predators) rather than competitors. As grey reef sharks are not territorial, they are speculated to be defending a critical volume of "personal space" around themselves. Compared to sharks from French Polynesia or Micronesia, grey reef sharks from the Indian Ocean and western Pacific are not as aggressive and less given to displaying.[3]
Grey reef sharks feed mainly on bony fishes, with cephalopods such as squid and octopus being the second-most important food group, and crustaceans such as crabs and lobsters making up the remainder. The larger sharks take a greater proportion of cephalopods.[20] These sharks hunt individually or in groups, and have been known to pin schools of fish against the outer walls of coral reefs for feeding.[14] Hunting groups of up to 700 grey reef sharks have been observed at Fakarava atoll in French Polynesia.[21][22] They excel at capturing fish swimming in the open, and they complement hunting whitetip reef sharks, which are more adept at capturing fish inside caves and crevices.[4] Their sense of smell is extremely acute, being capable of detecting one part tuna extract in 10 billion parts of sea water.[13] In the presence of a large quantity of food, grey reef sharks may be roused into a feeding frenzy; in one documented frenzy caused by an underwater explosion that killed several snappers, one of the sharks involved was attacked and consumed by the others.[23]
There is a variety of biotic reef types, including oyster reefs and sponge reefs, but the most massive and widely distributed are tropical coral reefs. Although corals are major contributors to the framework and bulk material comprising a coral reef; the organisms most responsible for reef growth against the constant assault from ocean waves are calcareous algae, especially, although not entirely, coralline algae.