Grayscale has taken steps to shift institutional investments in altcoins by filing for the first U.S. Chainlink ETF. The new fund is expected to be available on the NYSE under ticker GLNK.
Grayscale's Proposal for Chainlink ETF
Grayscale has filed an S-1 registration with the SEC, which could make it the first spot Chainlink ETF in the U.S. It is anticipated that the fund will trade on the NYSE under ticker GLNK. The process involves Grayscale, one of the largest digital asset managers, and Coinbase Custody as the designated custodian. Coinbase Custody remarked that their involvement aligns with institutional requirements for regulated custodianship.
Market Reaction to Chainlink ETF Filing
Following the filing announcement, LINK's price increased by 3-5%, indicating potential interest from institutional investors. The ETF's introduction may attract additional capital into Chainlink, aligning with trends observed in Bitcoin and Ethereum ETF filings.
Grayscale's Strategy and Market Competition
Grayscale's strategy reflects the transitions seen with Bitcoin and Ethereum ETFs, both of which contributed to price increases. Notably, Bitwise has also submitted a filing for a Chainlink ETF, signaling increased market competition. Crypto analyst Ash Crypto noted that the filing indicates optimism for the altcoin market, suggesting a potential rise in investor confidence.
The application for the first U.S. Chainlink ETF marks a significant milestone for the digital asset market and could lead to greater institutional investments in the DeFi ecosystem.
