According to Nate Geraci, co-founder of The ETF Institute, the U.S. Securities and Exchange Commission has “formally acknowledged” Grayscale’s filing to convert the Grayscale Digital Large Cap Fund (GDLC) into an exchange-traded fund.
The multi-asset fund offers exposure to such cryptocurrencies as XRP, Ethereum (ETH), Avalanche (AVAX), and Solana (SOL).
Bitcoin (BTC) accounts for the vast majority of the fund’s assets under management (77%).
The SEC has published a notice in order to solicit public comments from potential investors.
Earlier this month, Bitwise and Canary Capital both filed their respective XRP ETF applications. Such a product, however, is unlikely to be greenlit anytime soon by the SEC.
That said, leading ETF expert Eric Balchunas argued that a combo crypto ETF with some illiquid assets could be potentially approved by the SEC.
Bitcoin ETFs have been a tremendous success with tens of billions of dollars worth of inflows. However, it took roughly a decade for this product to be eventually approved.
As reported by U.Today, Ripple CEO Brad Garlinghouse has repeatedly stated that an XRP ETF is “inevitable.”