SEC Pauses Grayscale's Large Cap Fund Uplisting for Review After Initial Approval

Overview

The leaders of the U.S. Securities and Exchange Commission (SEC) announced a review of the recent approval concerning Grayscale’s initiative to convert the Digital Large Cap Fund into an exchange-traded fund (ETF), as indicated by a letter dated July 1. This unexpected review follows the SEC’s prior consent for the conversion earlier in the week.

Key Points

The SEC is currently assessing the previous approval of Grayscale’s Digital Large Cap Fund to list as an ETF.
This fund aggregates approximately $755 million in cryptocurrencies such as Bitcoin, Ethereum, XRP, Solana, and Cardano.

Important Notice

The SEC has clarified that any decisions related to this matter will be communicated to the New York Stock Exchange. Furthermore, it was noted that any commissioner has the ability to request a review of an SEC decision.

Commentary

For additional updates, stay tuned for future announcements from the SEC.