NEW YORK, May 16, 2022 (GLOBE NEWSWIRE) — Grayscale Investments®, the world’s largest digital currency asset manager, today announced that Grayscale® Basic Attention Token Trust (symbol: GBAT), Grayscale® Chainlink Trust (symbol: GLNK), Grayscale® Decentraland Trust (symbol: MANA), Grayscale® Filecoin Trust (symbol: FILG) and Grayscale® Livepeer Trust (symbol: GLIV) have begun trading on OTC Markets. Grayscale now offers 14 digital currency investment products trading on OTC Markets.
The Trusts are investment vehicles that intend to allow investors to gain exposure to the price movement of each of the Trusts’ underlying asset, or specific digital currency, so investors can avoid the challenges of buying, storing, and safekeeping the assets directly.
“Today’s announcement reaffirms Grayscale’s commitment to moving all of our digital currency investment products through our intended four-phase product lifecycle, with the intention of ultimately converting each into an ETF*,” said Craig Salm, Grayscale’s Chief Legal Officer. “We believe that investors deserve access to the digital currency ecosystem through secure products, and are excited to now offer them exposure to Basic Attention Token (BAT), Chainlink (LINK), Decentraland (MANA), Filecoin (FIL), and Livepeer (LPT) through publicly-quoted securities.”
SECONDARY MARKETS for the PRIVATE PLACEMENTS
Grayscale Basic Attention Token Trust (GBAT), Grayscale Chainlink Trust (GLNK), Grayscale Decentraland Trust (MANA), Grayscale Filecoin Trust (FILG) and Grayscale Livepeer Trust (GLIV) have each offered a private placement to accredited investors since March 2021.
As of May 13, 2022, there were 620,300 Shares outstanding of Grayscale Basic Attention Token Trust and each share represented ownership of 9.70245144 BAT. As of May 13, 2022, there were 321,010 Shares outstanding of Grayscale Chainlink Trust and each share represented ownership of 0.97024514 LINK. As of May 13, 2022, there were 1,897,900 Shares outstanding of Grayscale Decentraland Trust and each share represented ownership of 9.70245144 MANA. As of May 13, 2022, there were 111,400 Shares outstanding of Grayscale Filecoin Trust and each share represented ownership of 0.97138366 FIL. As of May 13, 2022, there were 614,800 Shares outstanding of Grayscale Livepeer Trust and each share represented ownership of 0.97104296 LPT. Shares created through the Trusts’ respective private placements become eligible to sell into the public market after a statutory one-year holding period under Rule 144 of the Securities Act.**
Investors will be able to buy and sell freely-tradable GBAT, GLNK, MANA, FILG and GLIV shares through their investment accounts in the same manner as they would other unregistered securities.
The investment objective of each Trust is for the Shares (based on assets per share) to reflect the value of the digital asset held by the Trust, determined by reference to the applicable CoinDesk index or reference rate at 4:00 p.m. New York time, less the Trust’s expenses and other liabilities.
CoinDesk’s BTX Index is the reference for Grayscale Basic Attention Token Trust, CoinDesk’s LNX Index is the reference for Grayscale Chainlink Trust, CoinDesk’s Decentraland Reference Rate is the reference for Grayscale Decentraland Trust, CoinDesk’s Filecoin Reference Rate is the reference for Grayscale Filecoin Trust, and CoinDesk’s Livepeer Reference Rate is the reference for Grayscale Livepeer Trust. The Trusts will not generate any income, and regularly distribute their underlying assets to pay for their ongoing expenses. Therefore, the amount of assets represented by each respective Share gradually decreases over time.
The Trusts are not registered with the Securities and Exchange Commission and are not subject to disclosure and certain other requirements mandated by U.S. securities laws.
GRAYSCALE PRODUCT FAMILY
Grayscale’s investment products are available to institutional and individual accredited investors through their respective periodic and ongoing private placements. In addition to its Basic Attention Token (BAT), Chainlink (LINK), Decentraland (MANA), Filecoin (FIL), and Livepeer (LPT) offerings, Grayscale’s single-asset investment products provide exposure to Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum (ETH), Ethereum Classic (ETC), Horizen (ZEN), Litecoin (LTC), Solana (SOL), Stellar Lumens (XLM), and Zcash (ZEC). Grayscale also offers investors exposure to digital assets through its diversified products, Grayscale Digital Large Cap Fund, which provides coverage of the upper 70% of the digital currency market by market capitalization, Grayscale DeFi Fund, which provides exposure to a selection of industry-leading DeFi protocols through a market-capitalization weighted portfolio designed to track the CoinDesk DeFi Index, and Grayscale Smart Contract Platform Ex-Ethereum Fund, which provides exposure to a selection of industry-leading Smart Contract Platforms through a market cap-weighted portfolio designed to track the CoinDesk Smart Contract Platform Select Ex ETH Index.
These newly-trading products mean that Grayscale now offers investors a total of fourteen products with public quotations. Grayscale® Bitcoin Trust (OTCQX: GBTC), Grayscale® Bitcoin Cash Trust (OTCQX: BCHG), Grayscale® Ethereum Trust (OTCQX: ETHE), Grayscale® Ethereum Classic Trust (OTCQX: ETCG), Grayscale® Horizen Trust (OTCQX: HZEN), Grayscale® Litecoin Trust (OTCQX: LTCN), Grayscale® Stellar Lumens Trust (OTCQX: GXLM), Grayscale Zcash Trust® (OTCQX: ZCSH) and Grayscale® Digital Large Cap Fund (OTCQX: GDLC) are also publicly-quoted and available to all investors with access to U.S. securities. Investors will be able to find current financial disclosure and Real-Time Level 2 quotes for Shares on www.otcmarkets.com/stock/GBAT/disclosure once trading for GBAT commences, www.otcmarkets.com/stock/GLNK/disclosure once trading for GLNK commences, www.otcmarkets.com/stock/MANA/disclosure once trading for MANA commences, www.otcmarkets.com/stock/FILG/disclosure once trading for FILG commences, and www.otcmarkets.com/stock/GLIV/disclosure once trading for GLIV commences.
*We use the generic term “ETF” to cover exchange-traded investment vehicles that are required to register under the Investment Company Act of 1940, as amended (the “‘40 Act”), also commonly referred to as “exchange-traded funds” or “ETFs”. The term “ETF” also encompasses “exchange-traded products” or “ETPs” that are not subject to the registration requirements of the ‘40 Act. ETFs trade in line with NAV as a result of the simultaneous creation and redemption mechanism available.
**The Trusts offer a private placement to accredited investors. Because the Trusts do not currently operate redemption programs, there can be no assurance that the value of the Shares will approximate the value of the respective digital assets held by the Trusts, less the Trusts’ expenses and other liabilities, and the Shares may trade at a substantial premium over, or a substantial discount to, such value and the Trusts may be unable to meet their respective investment objectives.
This press release is not an offer to sell or the solicitation of an offer to buy any security in any jurisdiction where such an offer or solicitation would be illegal, nor shall there be any sale of any security in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction.
About Grayscale Investments®
Grayscale enables investors to access the digital economy through a family of secure, regulated, and future-forward investment products. Founded in 2013, Grayscale has a proven track record and unrivaled expertise as the world’s largest digital currency asset manager. Investors, advisors, and allocators turn to Grayscale’s private placements, public quotations, and ETFs for single asset, diversified, and thematic exposure. Grayscale products are distributed by Genesis Global Trading, Inc. (Member FINRA/SIPC, MSRB Registered) or Foreside Fund Services, LLC. For more information, please follow @Grayscale or visit grayscale.com.