Major asset manager Grayscale has officially filed with the U.S. Securities and Exchange Commission (SEC) to launch a spot Chainlink ETF. This makes it the second firm, after Bitwise, to seek approval for a fund tracking the LINK token. The news provided an immediate boost to the market, with the LINK price rising 3% on the development.
The Details of the “GLINK” ETF
The filing reveals key details about the proposed fund, to be called the Grayscale Chainlink Trust (LINK).
- Trading Venue: NYSE Arca
- Ticker Symbol: GLINK
- Custodian: Coinbase Custody
- Administrator: Bank of New York Mellon
The fund’s sole purpose is to hold LINK tokens and provide institutional investors with a simple, regulated way to gain exposure to the asset without directly holding it.
A New Path Using “Generic Listing Standards”
Grayscale is taking a novel approach with this filing. Instead of the traditional process, it aims to list the ETF under the proposed Generic Listing Standards for Crypto ETFs.
This streamlined path would allow the fund to list on an exchange without needing a separate 19b-4 filing, significantly speeding up the approval process. However, Grayscale noted it will not push for effectiveness until the SEC formally adopts these new standards.
Potential for Staking and In-Kind Creations
The filing also leaves the door open for two highly anticipated features:
- In-Kind Creations & Redemptions: Grayscale is seeking approval for this model, which the SEC has already approved for Bitcoin ETFs. This is considered more efficient than the cash-create model.
- Staking: The document states the trust may engage in staking LINK tokens to generate yield for shareholders if conditions are met and regulators permit it.
Market Reaction and What’s Next
The market reacted positively to the news. The LINK price jumped over 3% to trade around $23, showing investor optimism about the potential for increased institutional demand.
Grayscale is now the second firm to file for a LINK ETF under the Securities Act of 1933 (“33 Act”), following Bitwise’s filing. The race to bring the first Chainlink ETF to market is officially on.
The Bottom Line
Grayscale’s filing is a significant step toward legitimizing Chainlink as an institutional-grade asset. While approval is not guaranteed and may depend on the SEC’s adoption of new listing standards, the filing itself is a powerful bullish signal. It demonstrates that major financial players see strong demand for structured products around oracle networks and real-world data, further bridging the gap between traditional finance and the crypto ecosystem.
