Grayscale, in the Spotlight as GBTC Discount Widens, Says DeFi Fund Now Trading

The debut of the DEFG fund in over-the-counter markets comes as Grayscale’s largest fund, the Grayscale Bitcoin Trust (GBTC), is trading at a record discount and at the center of crypto-market speculation.

AccessTimeIconDec 9, 2022 at 1:30 p.m. UTC
Updated Dec 9, 2022 at 5:10 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

Grayscale Investments, manager of the world’s biggest publicly traded bitcoin fund, said a new decentralized finance (DeFi) fund has started trading on over-the-counter markets.

The trading debut for the new fund, under the symbol “DEFG,” comes as the shares of Grayscale’s largest fund, the Grayscale Bitcoin Trust (GBTC), are trading a record 47% discount to the value of the underlying cryptocurrency. Grayscale has said it’s operating business as usual, but speculation about the fund’s future has arisen among traders and on Twitter in recent weeks amid swirling questions about the finances of Grayscale’s parent company, Digital Currency Group, after a halt in crypto lending operations at another subsidiary, Genesis Global Capital. (CoinDesk is also a subsidiary of Digital Currency Group.)

Similar to Grayscale’s other multi-asset investment vehicles, the DeFi fund is designed to give investors exposure to price movements of a basket of digital assets through a single investment vehicle via the stock market instead of buying the cryptocurrencies directly. DEFG tracks the CoinDesk DeFi Index (DFX), which includes the likes of Aave (AAVE), Uniswap (UNI) and Compound (COMP).

The components of the fund will be evaluated on a quarterly basis, according to the press release.

This is Grayscale’s 15th digital currency investment product to trade on OTC markets, according to the press release.

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 employees, including journalists, may receive options in the Bullish group as part of their compensation.

Lyllah Ledesma

Lyllah Ledesma is a CoinDesk Markets reporter currently based in Europe. She holds bitcoin, ether and small amounts of other crypto assets.


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.