Grayscale Investments announced May 9th It announced that it has formed a new entity called Grayscale Funds Trust and has applied for three new crypto investment funds.
Grayscale Proposes Three New ETFs
The Grayscale Fund Trust will serve as Delaware’s statutory trust structure, allowing the company to manage older products while pursuing Exchange Traded Funds (ETFs).
In addition to building new confidence, Grayscale has filed registration statements for three new ETFs directly or indirectly related to cryptocurrencies.
The first is the Grayscale Ethereum Futures ETF, which extracts value from your exposure to Ethereum futures contracts. The second is the Grayscale Privacy ETF. The fund tracks the Indxx Privacy Index, which includes Grayscale’s Zcash Trust.
The third fund is the Grayscale Global Bitcoin Composite ETF, which utilizes exchange-traded commodities and investment vehicles and securities of Bitcoin mining companies. The application states that the fund will not invest directly in digital assets.
Grayscale stressed that although it has filed regulatory filings, the funds have not yet taken effect and cannot be traded before they go into effect.
Grayscale Continues to Pursue Spot ETFs
Grayscale is one of the most notable investment firms providing cryptocurrency investment vehicles for institutions. Its Grayscale Bitcoin Trust (GBTC) has a market capitalization of $10.84 billion, and the company also offers a number of other cryptocurrency trusts.
However, GBTC’s redemption was suspended in 2014 due to a dispute with the US Securities and Exchange Commission (SEC). GBTC has recently traded at discounted prices.
Grayscale has also had difficulty getting permission from the SEC to allow it to convert GBTC into a spot ETF. Grayscale has taken the matter to court, but despite its efforts, has not been successful in launching a cryptocurrency spot ETF.
No other company has ever successfully launched a Bitcoin spot ETF.
Three new crypto fund files first appeared on CryptoSlate after Grayscale established the Fund Trust.
