Grayscale has retired against the US Securities and Securities Commission. (SECOND) Decision to stop the launch of its cryptographic ETF of great capitalization, calling the agency’s stay, both illegal and harmful to investors.
The asset manager presented a letter to the SEC on Friday in response to the unexpected pause in his plan to convert the gray large -scale digital cap fund (GDLC) in a background quoted in the stock market (ETF). The SEC had already approved the conversion earlier this year, but then issued a suspension order to review the approval, without explaining why.
“The gray scale, the exchange and the current fund investors are suffering as a result of the delay,” said the company in its letter.
The ETF GDLC would contain a basket of digital assets of great capitalization, including Bitcoin, Ether, XRP, Solana and Cardano, with about 80% of the fund currently weighted in Bitcoin. The movement to make it an ETF Spot is part of the broader grayscale strategy to bring more cryptographic products to conventional financial markets, after the launch of its spot bitcoin
ETF in January.
While the SEC has not clarified their reasons for the delay, market observers suggest that the wait is probably due to internal procedure problems, rather than a political opposition to cryptography. The ETF would contain Bitcoin, Ethereum, Solana, Cardano and XRP. Of these, Cardano and XRP currently do not have their own individual ETFs, and Solana simply has a background, with several applications with the hope of adding to this number.
Scott Johnsson, a financial lawyer and expert at ETF, said in an X post that, although the SEC movement was out of the ordinary, the fund will probably not derail completely.
“Since Grayscale suggested that they had productive conversations with the SEC before the approval, and they had made extensive amendments to the proposal of the in -line rule with those discussions, I suppose that the application of rule 431 was a gift of separation of Crenshaw acting unilaterally,” he wrote, referring to the commissioner of the sec Caroline Crenshaw. “This will be launched, it is just a matter of when IMO.”
If approved, GDLC would be the first cryptographic ETF of multiple assets in the US., Giving investors exposure to a selected basket of upper digital currencies without the need to administer wallets or custody themselves.
