Grayscale Introduces New Investment Trusts for Bitcoin Layer 2 Networks and Ethereum ETF Application Updates

Grayscale, a prominent asset manager in the cryptocurrency space, has recently introduced two new investment trusts that provide accredited investors with access to Bitcoin layer-2 networks like Stacks and NEAR Protocol. These new offerings join Grayscale’s existing range of crypto-focused trusts, which include funds dedicated to popular cryptocurrencies like Solana and Chainlink.

Rayhaneh Sharif-Askary, Grayscale’s Head of Product and Research, highlighted the firm’s commitment to meeting investor demand for diversified crypto asset exposure. She stated, “With continued demand for diversified crypto asset exposure, Grayscale remains committed to launching new products that enable investors to access emerging and evolving parts of the crypto ecosystem.”

Stacks, a Bitcoin layer-2 network, enables smart contract functionality on the Bitcoin platform and supports the development of decentralized finance applications. The network has seen increased interest following the rollout of its Nakamoto upgrade last month. Kyle Ellicott, Stacks’ Investor Relations Lead, noted the growing institutional interest in the Stacks ecosystem, highlighting the demand for unlocking Bitcoin liquidity and making it more usable.

NEAR Protocol, introduced in 2020, is a high-speed blockchain designed for decentralized cloud computing. The project recently announced the establishment of a new research and development lab focused on artificial intelligence.

Grayscale’s ultimate goal is to convert its private placements into exchange-traded funds (ETFs). The Grayscale Bitcoin Trust (GBTC) is currently the only product to have achieved ETF status, with the organization also seeking SEC approval to convert its Ethereum Trust into an ETF.

In a separate development, Grayscale recently submitted an updated filing for its proposed Spot Ethereum ETF application, removing the “staking” clause in response to SEC guidelines. The crypto community is eagerly awaiting the SEC’s decision on Spot Ethereum ETF applications, with Grayscale taking careful steps to ensure compliance with regulatory requirements.

Overall, Grayscale’s expansion into Bitcoin layer-2 networks and ongoing efforts to launch new products demonstrate the firm’s commitment to providing investors with diversified exposure to the evolving crypto ecosystem.