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Portfolio > Alternative Investments > Cryptocurrencies

Grayscale Expands Crypto Trust Offerings

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What You Need to Know

  • Grayscale announced five new crypto asset trusts coming to market at private placements.
  • Three of the five products involve subnetworks on the Ethereum network.
  • Grayscale is the sponsor of the largest Bitcoin fund, the Grayscale Bitcoin Trust, which has over $35 billion in assets.

Grayscale Investments, the sponsor of the world’s largest Bitcoin fund, has announced the launch of five new crypto asset trusts, which are available as private placements for accredited investors only.

Eligible investors can purchase shares at daily net asset value. The minimum investments for each of the trusts are $25,000, and the fees are 2.5%.

As in the case of Grayscale Bitcoin Trust (GBTC) and five other Grayscale cryptocurrency trusts, the firm intends to make shares of the new products available on the secondary market after a time. The holding period for the five new trusts is one year, according to a spokesperson.

Three of the new trusts are based on digital platforms that are sub-networks of the Ethereum network.

The trusts and the tokens they hold are:

  • The Greyscale Basic Attention Token Trust (BAT), a digital currency for Brave, a blockchain-based digital advertising and services platform.
  • The Grayscale Decentraland Trust (MANA), a token that serves as a digital currency in Decentraland, a peer-to-peer virtual reality platform.
  • The Grayscale Livepeer Trust (LPT), a digital currency for the Livepeer Network whose goal is to build a platform for decentralized video broadcasting and streaming.

The two other trusts and their tokens are:

  • The Grayscale Chainlink Trust (LINK), a decentralized network that aims “to link real world data and public blockchains by connecting smart contracts to off-chain data for markets, events and payments.”
  • The Grayscale Filecoin Trust (FIL), a digital asset created and transmitted through the operations of the peer-to-peer Filecoin Network, which is a decentralized network of computers that lets users buy or sell excess computer storage.

Grayscale has over $40 billion in total assets, including about $36 billion in its Bitcoin Trust. The trust had been trading at a wide discount to its NAV but that gap has narrowed recently, most likely because the discount attracted borrowers.


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