Hassan Maishera
TL;DR
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The U.S. SEC has approved the conversion of the Grayscale Digital Large Cap Fund LLC into an ETF.
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The fund comprises several cryptocurrencies, including BTC, ETH, SOL, ADA, and XRP.
SEC Approves Grayscale’s Mixed Crypto ETF
The United States Securities and Exchange Commission (SEC) has approved an exchange-traded fund (ETF) that seeks to convert the Grayscale Digital Large Cap Fund LLC.
Analysts are optimistic that this approval could result in the approval of several other crypto ETFs by the regulator.
In its filing on Tuesday, the SEC said,
"It is therefore ordered, pursuant to Section 19(b)(2) of the Exchange Act, that the proposed rule change (SR-NYSEARCA-2024-87), as modified by Amendment No. 1, be, and hereby is, approved on an accelerated basis."
The Grayscale Digital Large Cap Fund currently trades over the counter for accredited investors and comprises primarily of bitcoin at almost 80%, then Ethereum at about 11%. The other cryptocurrencies tracked by this fund include Solana, Cardano, and XRP.
This approval comes as the SEC is currently reviewing various cryptocurrency ETFs. Asset managers have submitted various ETF applications to track the prices of leading altcoins such as Solana, Dogecoin, Litecoin, Aptos, XRP, Polkadot, and Litecoin.
The approval comes amid a friendlier regulatory environment for crypto following President Donald Trump's inauguration earlier this year.
