The SEC has given the green light to Grayscale’s proposal to convert its Digital Large Cap Fund (GDLC) into an exchange-traded fund (ETF), which could pave the way for the first multi-asset crypto ETF on the market.

This decision is anticipated within the next 45 to 90 days and could significantly impact the crypto landscape. The GDLC fund currently invests in a range of crypto, including Bitcoin, Ethereum, Solana, and XRP, with Bitcoin and Ethereum making up a whopping 94% of its $558 million in assets.

Just two weeks ago, Grayscale submitted its application to transform GDLC into an ETF, a process that requires filing a Form 19b-4. Since then, investor confidence has surged, as evidenced by the narrowing of GDLC’s discount to net asset value from 30% to 17%. This shift reflects growing optimism about the fund’s chances of receiving ETF approval.

The upcoming U.S. presidential elections could also play a role in the future of altcoin ETFs. If Donald Trump were to win, it might lead to changes within the SEC, potentially resulting in a more crypto-friendly environment. Some experts believe that a Trump administration could be more inclined to approve altcoin ETFs and reconsider which digital assets are deemed securities.

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