Grayscale Files to Turn Multi-token Fund into an ETF

TL;DR

• Crypto asset management firm Grayscale has filed to convert a multi-token fund into an ETF.

• The fund contains Bitcoin, ether, Solana, XRP, and AVAX tokens.

Grayscale Files a New ETF with the SEC

Cryptocurrency asset manager Grayscale Investments filed a request on Tuesday with the U.S. SEC to convert its multi-token fund containing popular tokens bitcoin, ether, Solana, XRP, and Avalanche into an exchange-traded fund (ETF).

A Grayscale spokesperson stated that,

"This filing reflects Grayscale’s steadfast commitment to making the crypto asset class more accessible for all investors."

The multi-token Digital Large Cap Fund (GDLC) currently trades over the counter and has assets under management of $524 million. The fund consists primarily of Bitcoin (75%) and Ether (19%), with Solana, XRP, and AVAX making up the remaining 6%. 

The asset manager converted its Bitcoin fund (GBTC) into a Bitcoin ETF earlier this year, and its AUM is roughly $14 billion. Grayscale also converted its Ether fund into an ETF earlier this year. 

With Bitcoin and Ether ETFs now live, asset management firms are moving to other cryptocurrencies. Two weeks ago, Bitwise took a crucial step towards launching an XRP exchange-traded fund (ETF) by registering an XRP ETF Trust with Delaware's Division of Corporations.

Last week, Canary Capital Group officially filed for a spot XRP exchange-traded fund (ETF) with the U.S. Securities and Exchange Commission (SEC).

Meanwhile, Grayscale launched the Grayscale XRP Trust last month, allowing investors to gain exposure to Ripple’s native coin.