Grayscale’s Ethereum Trust Granted SEC Reporting Company Status

Institutional bitcoin investors are looking at "how else they can diversify within the asset class," said Michael Sonnenshein.

Oct 12, 2020 at 1:30 p.m. UTC
Updated Sep 14, 2021 at 10:07 a.m. UTC

Grayscale Investments’ Ethereum Trust on Monday became a Securities and Exchange Commission (SEC) reporting company, a move that increases the trust’s transparency – and potentially its liquidity.

  • The Ethereum Trust will begin regularly disclosing how much money is flowing through its passive ETH investment vehicle, according to SEC filings.
  • Accredited investors who hold the trust will be able to sell after only a six-month lockup instead of the usual 12. 
  • "We're seeing interest from investors who have become more comfortable with digital currencies through bitcoin exposure, and are now looking at how else they can diversify within the asset class," said Grayscale's managing director, Michael Sonnenshein.
  • The trust is Grayscale’s second crypto vehicle with shares registered under the Exchange Act of 1934, after its Bitcoin Trust became effective as a reporting company in January.
  • Grayscale is part of Digital Currency Group, CoinDesk's parent company.
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