Chainlink’s native token LINK rose 8% on Tuesday to $13.06 following the debut of a Grayscale exchange-traded fund (ETF) linked to the asset.
The ETF, which trades under the symbol GLNK, provides investors with regulated access to Chainlink through traditional brokerage accounts. It is the first exchange-traded fund in the US dedicated to tracking LINK, the token that powers Chainlink’s decentralized oracle network.
Chainlink plays a key role in how blockchain systems interact with the real world. Its network feeds off-chain data, such as weather updates, price information, and election results, into smart contracts, allowing decentralized applications to respond to real-life events.
It also allows separate blockchains to communicate, helping data and value move between networks that would not otherwise communicate with each other. That functionality has made it a staple in decentralized finance (DeFi), NFT, gaming and other on-chain markets, securing tens of billions of dollars in value, Grayscale said in a press release.
The ETF itself is not a direct investment in LINK. Instead, GLNK owns LINK on behalf of shareholders and is not subject to the Investment Company Act of 1940, meaning it lacks some of the consumer protections that govern traditional ETFs and mutual funds.
LINK’s gain comes after a sharp sell-off this year. The token is down 39% since the beginning of January, echoing losses across the broader crypto market.
Grayscale filed the fund as a private placement in 2021 and moved it to the OTC markets in 2022. The listing on NYSE Arca makes it more accessible to institutional and retail investors.
