Coin WorldTuesday, Jul 1, 2025 1:25 pm ET
1min read
The U.S. Securities and Exchange Commission (SEC) has officially approved the conversion of Grayscale’s Digital Large Cap Fund into an exchange-traded fund (ETF). This ETF will include a mix of five major cryptocurrencies: Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Solana (SOL), and Cardano (ADA). The fund is designed to track these assets, with the majority allocated to Bitcoin and the remainder spread across the other four cryptocurrencies.
The approval comes after Grayscale’s revised S-3 filing to convert the GDLC fund into a spot ETF was acknowledged by the SEC. This development is significant as it represents Grayscale’s latest effort to expand its crypto investment offerings beyond its flagship Bitcoin and Ethereum trust products. The conversion of the GDLC fund into an ETF is expected to unlock significant institutional capital flows into the digital asset space, providing investors with simplified diversification options.
The approval of this ETF is a notable milestone in the crypto industry, as it paves the way for potential future approvals of single-asset spot ETFs tied to XRP, Solana, Cardano, and other cryptocurrencies. This could lead to a more extensive review timeline for these individual assets, but it sets a precedent for future regulatory decisions in the crypto ETF space. The SEC’s approval of Grayscale’s proposal reflects its ongoing engagement with the company regarding its proposed conversion of the GDLC fund, indicating a growing acceptance of cryptocurrencies within the traditional financial system.
