Grayscale’s Push for a Multi-Token ETF
Grayscale Investments is moving to transform its Digital Large Cap Fund, which tracks major cryptocurrencies, into an exchange-traded fund (ETF). The fund, currently traded under the ticker GDLC, tracks the CoinDesk Large Cap Select Index, which comprises bitcoin (BTC), ether (ETH), solana (SOL), XRP (XRP), and avalanche (AVAX). The company aims to launch this ETF on the New York Stock Exchange, having filed the necessary documents with the SEC.
Meeting Investor Demand for Diversified Crypto Exposure
Grayscale has introduced several crypto-focused ETFs this year, including funds tracking bitcoin and ether. However, the firm has seen investor withdrawals exceeding $23 billion from its BTC and ETH ETFs since their launch. The planned multi-crypto ETF would expand Grayscale’s offerings and may appeal to investors seeking exposure to a broader range of digital assets, beyond single-token ETFs.
SEC Approval Could Lead to Additional Multi-Crypto ETFs
If approved, this ETF would join other recent filings to create funds tracking various cryptocurrencies, including those based on Ripple’s XRP, Solana’s SOL, and Litecoin’s LTC. Grayscale’s proposed fund highlights a growing trend in crypto investments that offers diversified portfolios, designed to help investors manage the volatility and unique risks associated with the asset class.
Source:
CoinDesk
