Grayscale Drops XRP From Large Cap Crypto Fund Following Ripple SEC Suit

Grayscale announced it ditched XRP on Dec. 31. Additionally, the firm's XRP Trust stopped accepting new subscriptions on Dec. 23.

AccessTimeIconJan 5, 2021 at 2:52 p.m. UTC
Updated May 9, 2023 at 3:14 a.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global hub for everything crypto, blockchain and Web3.Register Now

Digital asset manager Grayscale Investments is following Bitwise’s footsteps in removing XRP from its large-cap crypto fund.

The firm, which is owned by CoinDesk parent company Digital Currency Group, announced Tuesday it would no longer hold XRP in the Grayscale Digital Large Cap Fund, which is also made up of BTC, ETH, BCH and LTC.

The move comes a couple weeks after fellow asset manager Bitwise liquidated $9.3 million in XRP from its crypto index fund and the U.S. Securities and Exchange Commission filed a suit against Ripple, alleging it had conducted an unregistered sale of securities with its XRP token.

Grayscale still operates a standalone XRP Trust but stopped accepting new subscriptions to the fund on Dec. 23, Craig Salm, Grayscale's legal director, said via email.

"Existing investors in the Trust will continue to receive annual reports, audited financial statements, and tax information statements," Salm said. "The Trust will continue its daily 4 PM NAV striking as well as other associated functions pursuant to the Trust's governing documents."

Disclosure

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by Block.one; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk offers all employees above a certain salary threshold, including journalists, stock options in the Bullish group as part of their compensation.


Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.