Shark Tank Star Kevin O’Leary Bullish on Coinbase Despite Heavy Correction of Crypto Exchange’s Stock – Here’s Why

Shark Tank investor Kevin O’Leary says he’s optimistic about Coinbase’s long-term potential despite the considerable drop in the company’s stock price.

In an interview with CNBC’s Halftime Report, O’Leary notes that while pressure from regulators stifled Coinbase’s plans to offer yields on the USD Coin (USDC) stablecoin in the US, the crypto exchange’s Lend product remains viable overseas.

“The play on Coinbase is crypto infrastructure. They’re going to go to other jurisdictions where they’re allowed to allow staking because they’re a global platform.

They’re getting very savvy at it. They’re going to different geographies and putting out the Lend product there.” 

In September, Coinbase scrapped its lend program, which would have generated 4% annual percentage yield (APY) on the company’s dollar-pegged stablecoin USD Coin (USDC)

The businessman notes that in light of the recent Congressional hearings discussing cryptocurrencies, he believes regulators will eventually permit Lend-type products in the US.

“I like the direction of this, and so for me, I’m looking for infrastructure, and Coinbase is one of those global platforms [with] millions of accounts.

And as soon as these products get turned on, [customers] have to prove [their] geography. You have to have an IP address that’s allowed in.”

The Coinbase stock trades on the Nasdaq under the ticker symbol COIN. At time of writing, it’s valued at $251.37, down over 46% from the November high of $368.90.

O’Leary concludes the discussion of his investing strategy by saying,

“If you’re into crypto… it’s a binary decision, either you like it or you don’t.

I’m in the ‘like it’ camp, and so I’m looking for ways to diversify my portfolio.

Coinbase is one way to do that.”

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After SEC Pressure, Coinbase Decides To Drop Interest Product

It was just a couple weeks ago that Coinbase posted a blog post, paired with a hefty Twitter thread from CEO Brian Armstrong highlighting recent challenges with the SEC.

Armstrong described the agency’s behavior as “sketchy” after the SEC seemingly threatened the exchange that a lawsuit would be impending should Coinbase launch their expected interest-yielding product, Lend. If Armstrong’s tweet thread didn’t give it away, the company’s blog post, spearheaded by Chief Legal Officer Paul Grewal, was undoubtedly lined with some of the firm’s frustrations.

Now, less than a month later, reports have emerged that Coinbase has elected to halt it’s plans to launch Coinbase Lend.

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A Threat To DeFi?

The news comes less than a week after SEC Chairman Gary Gensler told CNBC that his commission is under-staffed. Gensler echoed those sentiments in a Senate testimony last week, stating that the SEC “needs a lot more people.” He added in the testimony that he believed previous judiciary decisions established that many cryptocurrency tokens “do come under the securities law.” Gensler took the role with the SEC earlier this year, and came in with high expectations from retail investors.

Elsewhere in the market, some state regulators seem to be working to try to fill the SEC’s role with interest-yielding products already on the market. A handful of state regulators in recent months started legal action against BlockFi for it’s lending products. In the past week, some state regulators have shifted focus to pursue action against Celsius as well. New Jersey, Texas and Alabama are three states that are pursuing both BlockFi and Celsius with claims that the firms are offering residents unregistered securities.

Regardless of the eventual outcome, the growing popularity of yield-generating tokens and stablecoins are becoming of increased importance to regulators, and are likely bound to be responsible for federal oversight at a higher level than currently seen. The timetable and degree of oversight remains to be seen.

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Coinbase is the first crypto exchange to be publicly traded on a major U.S. stock exchange, but has posted modest results in it's short time on the market. | Source: COIN - NASDAQ on TradingView.com

Related Reading | Mid-Cap Altcoins Hold Onto Highs Better Than Bitcoin And Ethereum

Elsewhere In The Coinbase Rumblings

The powerhouse exchange continues to build on their flagship products to deliver business growth. Last week, the exchange issued a high-demand junk bond with orders amounting to $7B. In recent months, the company announced it’s intent to launch a “crypto app store” and added payment support for Apple Pay.

Safe to say it’s been a busy quarter for the bustling exchange. However, it remains to be seen what the end result is for competitors like BlockFi and Celsius. In the meantime, it seems that Coinbase may be working to try to propose regulatory framework that can help the SEC and other regulatory figures embrace the market without overstepping boundaries for crypto consumers.

Related Reading | Despite Dips, Bitcoin Exchange Reserves Reach Lowest Values Since 2018

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As SEC Lawsuit Looms, Coinbase CEO Describes The Agency’s Behavior As “Sketchy”

The regulatory battle with DeFi is heating up. The SEC now seemingly has it’s eyes set on arguably the largest cryptocurrency exchange in the United States.

The news comes after five U.S. states sent individual notices to DeFi platform BlockFi in recent weeks. This week, reports have surfaced that Coinbase is facing regulatory scrutiny over it’s upcoming, yield-generating Coinbase Lend product.

Coinbase CEO Brian Armstrong had quite a bit to say about it, describing the SEC behavior as “sketchy”.

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Coinbase Expresses Frustration

Coinbase issued a strongly-worded blog post that broke the word over the agency’s threats, titled “The SEC has told us it wants to sue us over Lend. We have no idea why.”

Posted by Coinbase Chief Legal Officer Paul Grewal, the post explains that the government agency issued a Wells notice last week regarding the company’s upcoming Lend product – despite what Coinbase describes as “months of effort by Coinbase to engage productively.” A Wells notice is a regulatory letter that notifies preparation of enforcement action.

The Coinbase Lend product intends to allow consumers to earn 4% APY on stablecoin USDC as a starting point for select interest-earning assets. The blog states that rather than preemptively launching the platform, the company took a proactive approach in advising the SEC regarding it’s intent first. The blog post continues on to state that despite these efforts, along with compliance with reasonable SEC requests, the agency intends to sue should Coinbase launch the Lend platform.

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The post closes stating that for the time being, the Lend platform will not launch until at least October, reiterating that “dialogue is at the heart of good regulation.” Unfortunately, it seems to be a one-way conversation thus far.

The SEC is seemingly incentivizing an “ask for forgiveness, rather than permission” policy.


As crypto's total market cap continues to grow, regulatory question marks becoming increasingly apparent. | Source: CRYPTOCAP - TOTAL on TradingView.com

Related Reading | New To Bitcoin? Learn To Trade Crypto With The NewsBTC Trading Course

It Doesn’t Stop There

Coinbase CEO Brian Armstrong took to Twitter to express some frustration as well. In a tweet thread spanning over twenty tweets long, Armstrong leads off with “some really sketchy behavior coming out of the SEC recently…”

Armstrong goes on to recap the blog post in brief, with the sticking point seeming to be that the SEC is describing the lending feature as a security, without providing any sort of elaboration or specification as to how or why that would be the case.

These circumstances could set a very interesting precedent moving forward on the leeway the SEC is given on how, what, and why the SEC determines what is and isn’t a security. To date, Coinbase’s efforts to be transparent and communicative with the agency don’t seem to be reaping rewards.

We’ll see if that continues to be the case. As Armstrong aptly states to close out his tweet thread, “hopefully the SEC steps up to create the clarity this industry deserves, without harming consumers and companies in the process.”

Related Reading | Panama To Recognize Bitcoin As Payment Alternative, Issues New Regulations

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Aavegotchi Aims to Bring its NFTs to Ethereum By July

In brief

  • The developers of collectible NFT “ghosts” Aavegotchi have published their roadmap to 2024.
  • In the next quarter, they plan to launch a decentralized bridge between the Polygon and Ethereum blockchains.

Pixelcraft Studios, developer of decentralized finance (DeFi) digital collectibles game Aavegotchi, has revealed its ambitious plans for the project over the next three years, including a decentralized bridge to Ethereum and a “fair, bot-free” auction platform for its non-fungible tokens (NFTs).

Aavegotchi is an experimental startup funded by DeFi money market Aave and focused around the eponymous “Aavegotchis”—NFT-based crypto-collectibles presented in the game universe as pixelated ghosts. Every Aavegotchi also has Aave’s aTokens staked inside them as collateral—thus generating yields on Aave.

Building bridges

According to a multi-year roadmap shared with Decrypt today, the developers plan to launch a decentralized bridge between the Polygon blockchain (on which Aavegotchi is based) and the Ethereum mainnet by the end of Q2 2021. The bridge will enable users to transfer their ERC-721 tokens (the most common standard for NFTs) and ERC-1155 (a less common standard for so-called “semi-fungible” assets) tokens between the two networks.

The bridge is required because initially, Aavegotchi was launched on Polygon—a proof-of-stake (PoS) sidechain of Ethereum. Unlike the Ethereum mainnet, which is still using a proof-of-work (PoW) consensus algorithm, Polygon requires much less computing power and energy to validate transactions.

However, since “the majority of crypto activity is still happening on Ethereum,” Aavegotchi developers decided to “reunite” the two blockchains. “Aavegotchi will be launching a bridge back to Ethereum that supports ERC721s (Aavegotchis and Portals) and ERC1155s (Wearables, Consumables, and Tickets) to empower users with more trading possibilities,” the roadmap explained.

To better adapt to the growing market, Pixelcraft Studios also plans to launch a new auction system for its tokens which should ensure “fair, bot-free distribution of NFTs.” Additionally, the team will add social media integration and conduct a presale for Gotchiverse—Aavegotchi’s metaverse “realm”—in the second quarter.

Ghosts with the most

In Q3, Pixelcraft plans to launch an “Aavegotchi Aacrade Mini-game hub” that will allow third-party developers (“Aarchitects”) to launch their own mini-games on the platform. Meanwhile, the alpha launch of Gotchiverse and the Wearable Builder decentralized app for designers are slated for late 2021.

Finally, between 2022 and 2023 Pixelcraft aims to launch the Aavegotchi Builder software development kit, an alpha version of its mobile app, and the AavegotchiDAO V3. Starting in Q1 2024, the studio will aim to “fulfill the Aavegotchi vision of making a crypto game with mass mainstream appeal” with over 10 million monthly active users.

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Why Aave Is Bringing Yield Farming to Its DeFi Platform

In brief

  • Despite the popularity of liquidity mining, Aave has never implemented a liquidity mining program.
  • Thanks to a user proposal, it’s begun a three-month program starting today.

In the “DeFi Summer” of 2020, Compound brought the heat by pulling out an old concept, liquidity mining. Its willingness to reward lenders and borrowers in its COMP governance tokens helped make it the biggest lender in all of Ethereum.

Now, in an effort to keep pace, decentralized finance (DeFi) competitor Aave is trying out its own liquidity mining program. Starting today, the platform will pay its users in Staked Aave (stkAAVE) when they lend or borrow Ethereum, Wrapped Bitcoin, or stablecoins DAI, GUSD, USDC, and USDT. And we’re not talking about a few extra pennies.

Decentralized finance is the blanket title given to blockchain-based protocols that remove financial intermediaries, making lending and borrowing possible without loan officers or credit checks. 

Liquidity mining, also known as “yield farming,” involves pooling your cryptocurrency into a fund so it can be lent out to others—not much different from a savings account or certificate of deposit (the latter of which pays more in exchange for an inability to move it). In exchange for providing the exchange or protocol with liquidity, it rewards you with another type of token. 

Aave users already earn staking rewards for staking (ie, locking up) Aave’s native token as well as interest on their deposits. This program allows them to earn additional rewards in stkAAVE. Staked Aave is equivalent in value to AAVE, which is currently priced near $400, according to Nomics. To convert it to the AAVE governance token, they must wait 10 days after receiving it.

In case you’ve ever wondered what comes out of DeFi governance, which places the users in charge of guiding the protocol, this was one of those things. Aave Improvement Proposal (AIP) 16, put forth by venture capitalist and AAVE user Anjan Vinod, called for liquidity mining as a way to attract capital and ensure borrowers can get the loans they need. Moreover, he argued, it would get people to switch to Aave’s version 2, introduced in December 2020. Much of the protocol’s capital is still locked up in v1, the proposal suggested, because of high gas fees on the Ethereum blockchain, which the protocol is built on top of; users didn’t have enough reasons to move the funds.

“By introducing liquidity mining rewards only on Aave v2, liquidity providers and borrowers will naturally migrate toward the more optimized version,” wrote Vinod.

That’s because the rewards on v2 are supercharged. Right now, AAVE v2 is advertising lenders a variable interest rate of 18% on Tether stablecoin, while borrowers get up to 36%. In v1, those rates are 1% and 7%, respectively.

As for the nitty gritty, liquidity mining rewards are split equally between lenders and borrowers; for ETH and WBTC, the lenders take 95%. The platform will distribute 2,200 stkAAVE (worth around $1 million) each day proportionally to the six liquidity markets based on their size. The program will run until July 15, at which point Aave users can vote to renew, discontinue, or amend it.

Aave is playing catch up. Uniswap experimented with liquidity mining in October and November of last year. Compound, meanwhile, has been running its program since June. According to a Messari report, Compound had more than $5 billion in outstanding loans by the end of the first quarter of 2021, compared to between $1.5 and $2 billion for Aave.

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Ethereum Price Tanks, Bringing DeFi Tokens Down With It

Cryptocurrency traders and investors in the US today awoke to significant losses across the market. Bitcoin dropped by more than 5%, falling as low as $55,800, bringing Ethereum, the second biggest crypto asset my market cap, down with it.

Ethereum today shed more than 7% to its price, losing a week’s worth of gains. ETH is currently trading for $1,948 per token.

And as Ethereum goes, so goes the DeFi market.

DeFi, short for “decentralized finance,” is a catch-all term that describes a collection of non-custodial, peer-to-peer financial products. This includes lending, borrowing, and trading services that function without the need for a middleman, like a bank. Many of these platforms have their own crypto tokens—which throughout 2020 have skyrocketed in price.

Yesterday, the combined market cap for DeFi tokens topped $100 billion, according to CoinGecko. Meanwhile, total value locked—a metric that measures the relative popularity of DeFi protocols based on the amount of money flowing through them—topped $51 billion for the first time, according to data from de DeFi aggregator DefiPulse. For those awaiting a “correction” to the market, that came today.

Uniswap’s UNI token had a sharp drop of almost 8%, currently sitting at $28.8 after falling to $27.90. Uniswap is a decentralized finance protocol that is used to exchange cryptocurrencies with no centralized entity overseeing any transaction. The UNI token is used to facilitate transactions on the increasingly popular platform. UNI’s price drop today brings it back to the levels registered in early April.

PancakeSwap is another DeFi protocol that runs on the Binance Smart Chain, a blockchain with support for smart contracts developed by the crypto exchange Binance. Its native token $CAKE dropped 4.7% today, falling to $15.40 before recovering a bit to its current price of $17.60.

SushiSwap is another popular decentralized exchange in the world of DeFi. It’s basically a clone of Uniswap, and its own SUSHI token today fell by 7%.

Aave, a decentralized lending platform known for its “flash loans,” also caught fire in 2020. The token has skyrocketed in price by 67,000% since October. Today, however, the coin dropped by nearly 11%, now trading for around $350.

Synthetix, a DeFi protocol that lets users create artificial versions of any assets and gain exposure to their price, makes use of its own “DeFi token” SNX on the platform. SNX today dropped by 12.2% and is now hovering around $19.17.

All in all, it’s not a great day to have joined the DeFi party late. But if you got in early, or are in it for long-term “future of finance” promises, today’s sizable losses may not seem very big at all.

Disclaimer

The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.

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Bitcoin Back Above $50k as Crypto Market Beats Inertia

If crypto markets showed signs of stabilizing yesterday after a nasty slump, they’re boasting healthy growth again today. Bitcoin in particular leaped 5% overnight to cross the $50k threshold for the third time this year. It’s now sitting at a price of $50,700.

Despite Bitcoin’s extreme volatility recently—on February 21 it tanked from $58k to $49k overnight—achart shared by Glassnode reveals that new Bitcoin buyers didn’t panic sell during the correction, indicating growing confidence in the currency’s long-term prospects. 

And this weekend, crypto HODLers had their confidence restored when US cloud and data analytics firm MicroStrategy continued its bullish Bitcoin buying spree in spite of sinking share prices, buying up a further $10 million and taking its total BTC holdings to $4.4 billion.

DeFi is in the green

The rest of the crypto market is healthy today, too. Ethereum is up almost 7% from yesterday. At $1,667, it’s still 17% shy of its ATH of over $2k only a fortnight ago. Excitement over the forthcoming EIP-1559 upgrade could be one of the factors keeping its price buoyant. It trades 20% higher than last weekend. 

And decentralized finance (DeFi) coins are on the up, too. Uniswap’s UNI observed the highest growth in the top 10 coins by market capitalization. The native token of the world’s largest decentralized finance exchanges surged over 12% overnight to trade at $31.41. That makes for a seven-day growth of 40%. 

Meanwhile, the coin that powers decentralized lending protocol AAVE also boasted similar growth. Aave’s token grew 10% overnight to land at a price of $404.95. That’s still almost 30% down from its all-time high of $559.12 this time last month.

The surge comes days after Aave CEO Stani Kulechov laid into the practice of yield farming in an interview with Coin Briefing, calling current yield farming practices “pretty much printing money.”

What’s yield farming? It’s a catch-all term for a wide variety of practices and strategies, but in short, it’s the practice of lending crypto around marketplaces using smart contracts, (automated blockchain contracts that work just like any IRL contracts), and receiving crypto back in the form of fees and loyalty tokens.

On Friday, Kulechov announced that he will join crypto venture firm Variant Fund as a partner. 

After a turbulent start to the month, crypto is sailing smoothly again.

Disclaimer

The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.

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Cardano Comes Out Kicking While Bitcoin and Ethereum Slump

In brief

  • Bitcoin and Ethereum are down.
  • Cardano is up as excitement builds around upcoming smart contracts and DeFi capabilities.
  • Grayscale’s Bitcoin and Ethereum trusts are currently trading shares at discount prices.

After a sharp market pullback, the price of Bitcoin dropped from a peak of $58k on February 21 to a low of $49k the following day. As of Saturday, the market has stabilized somewhat while retail investors have been buying the dip—but some troubling trading signals leave the market in a precarious place. 

As of the time of writing, Bitcoin sits at $44,454, up 1.68% in the last day but down over 15% this week. Ethereum’s price is in even greater trouble. Currently valued at $1,482, Ethereum is down 0.18% in the last day, part of a pullback that has taken 26.12% off its value in the past week. 

Bearish markets

The downturn follows a week comparatively absent of news about institutional investment. Earlier this month, BNY Mellon announced plans to add crypto services to its asset management business, Tesla disclosed an investment of $1.5 billion and BlackRock announced it was “dabbling” in Bitcoin. And last week, Canada launched two Bitcoin ETFs. But large institutional investors had nothing to bring to this week, breaking the momentum of good news for Bitcoin.

A couple of shocks hit the market this week. 

Shares in Grayscale’s Bitcoin and Ethereum Trusts are currently both trading at below the value of the crypto assets themselves. This is the lowest price Grayscale’s Bitcoin Trust has been traded atin five years; it’s a first-time occurrence for their Ethereum trust, which launched in 2017. 

Darius Sit, CIO of QCP Capital, told Decrypt that traders shouldn’t worry: it’s normal for ETFs and ETF-like investment vehicles], he said. But other analysts are concerned that this could depress the price of crypto and hurt lending markets. Large trading desks hoped to profit from the premium at which Grayscale’s trusts trade; if that premium goes away, they might put their money elsewhere. 

Bitcoin and Ethereum are not the only losers this week. Binance Coin, Litecoin and Chainlink are all down 25% in the last seven days. Binance currently costs $230 while Litecoin trades at $175. Chainlink’s valued at $25.62. Of all the altcoin’s free falling in this weekend’s bearish markets, Bitcoin Cash and Aave have taken the hardest hits. Both are down 30%, with Bitcoin Cash sitting at $493 and Aave at $343.

Any winners?

Cardano currently costs $1.45, up 40% in the last week and 30% in the last day alone. Cardano’s ADA received some pumping from Dubai firm FD7 Ventures this week when it sold $750 million worth of Bitcoin to purchase Cardano and Polkadot instead. Much of the excitement around Cardano can be attributed to an expected hard fork coming at the beginning of March. 

Features like smart contracts, decentralized finance (DeFi) and non-fungible tokens are all coming to Cardano’s blockchain, and will be a welcome alternative to Ethereum’s high gas prices. Cardano’s ADA token is currently valued at $1.47, up 40% in the last week and 30% in the last day alone.

Things are also looking hopeful for Stellar’s XLM token. It’s up 12% in the last twenty-four hours, reversing a bearish seven-day decline that shaved 17% of its price. Another big gainer is Cosmos’s ATOM token. It’s up 12% today, hitting a price of $19.79.

It seems like Bitcoin’s market propping bull run is dissipating.

Disclaimer

The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.

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Grayscale Wants to Launch Trusts For Aave, EOS, Uniswap and Other Altcoins

In brief

  • Grayscale filed multiple crypto trusts in the registry.
  • Technophobic or risk-averse investors can capitalize on booming crypto markets.
  • Should ETFs pass go with the US SEC, interest in crypto trusts may wane.

Grayscale has filed more than a dozen alt coin trusts with Delaware’s corporate registry, indicating that it is looking to accommodate for investors’ growing interest in alt coins. Coins on the list include Aave, Cardano, EOS, Uniswap and Polkadot

The news didn’t pump the alt coin market, which fell in a near-ubiquitous slump yesterday after taking collateral damage from an Elon Musk-prompted Bitcoin crash. 

Grayscale reopens ETH Trust

Yesterday, Grayscale also announced that it had reopened its Ethereum Trust for private investors. 

The Ethereum Trust, which holds $4 billion, functions just like any of Grayscale’s other trusts: Grayscale warmly welcomes a group of private investors and uses their money to invest in cryptocurrency. Then Grayscale charges them 2% and sells shares in the Trusts on public trading desks. 

Trusts like these promise investors ‘auditable ownership [of crypto] through a traditional investment vehicle,’ while keeping crypto pots illiquid and offline in cold storage. 

Crypto Trusts: Taking advantage of absent ETFs

This makes Trusts more expensive than the holy grail of publicly-traded Bitcoin: Exchange Traded Funds. However, applications for crypto ETFs on US exchanges have always been rejected by the US Securities and Exchange Commission. 

This leads investors who prefer to trade crypto through traditional investment vehicles, with publicly quoted prices and trusted legal counsellors and auditors, toward Grayscale’s trusts, such as the Grayscale’s Bitcoin Trust, which manages $11.5 billion in privately invested BTC assets, or its Ethereum trust, which is marketed to investors looking to avoid “the challenges of buying, storing, and safekeeping ETH directly.” 

Companies like VanEck and Valkyrie Digital Assets made fresh attempts to apply for ETFs following the resignation of SEC chair Jay Clayton

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Here Are All the New Crypto Trusts Grayscale Just Incorporated

In brief

  • Grayscale incorporated new trusts for coins like Polkadot (DOT) and Aave (AAVE) on Wednesday.
  • They join recently incorporated trusts for Chainlink (LINK), Basic Attention Token (BAT), and Tezos (XTZ).
  • Grayscale hasn’t said when (or if) they’ll launch.

Crypto investment powerhouse Grayscale manages over $24 billion in assets through trusts for Bitcoin, Ethereum, and other major cryptocurrencies.

New filings suggest it’s looking to extend the list: on Wednesday, Grayscale incorporated new trusts for Polkadot (DOT), Aave (AAVE), Monero (XMR), Cosmos (ATOM), EOSIO (EOS), and Cardano (ADA).

According to Delaware’s Division of Corporations, all six of the entities were incorporated yesterday.

Grayscale’s trusts have become a popular way for investors to get exposure to cryptocurrencies without having to trade them directly. They behave a little like traditional ETFs, though they don’t pay out dividends, and there’s a six-month lockup period for all the money you put in. The trusts’ premiums also create opportunities for appealing arbitrage plays.

Coinshares is a digital asset manager offering similar investment vehicles for crypto in the US. And 3iQ and Ninepoint Partners have launched crypto funds in Canada. There’s still no true Bitcoin ETF in the US, though not for lack of trying: the SEC has pushed back on applications from the likes of Gemini, Bitwise Asset Management, and VanEck.

The underlying assets for Grayscale’s newly incorporated trusts may each have their own unique appeal for investors. Polkadot’s DOT token recently became the fourth-largest cryptocurrency by market capitalization; like Cardano (the sixth largest), EOS (the 17th largest), and Cosmos (the 26th largest), it’s a kind of decentralized computing network. Aave is a popular DeFi protocol that enables its users to borrow and lend crypto peer to peer, and Monero is a coin that’s meant to maximize privacy on the blockchain.

The new trusts join several other recent filings from Grayscale, including the Grayscale Chainlink Trust (LINK), as well as funds for Decentraland (MANA), Tezos (XTZ), and the Brave browser’s Basic Attention Token (BAT).

In statements last week, Grayscale CEO Michael Sonnenshein said that these are all “reservation filings”—it isn’t yet known whether the company will actually launch any of the trusts.

“Grayscale is always looking for opportunities to offer products that meet investor demands,” said Sonnenshein of the new trusts. “Occasionally, we will make reservation filings, though a filing does not mean we will bring a product to market. Grayscale has and will continue to announce when new products are made available to investors.”

Grayscale remains the largest crypto investment company, with a substantial lead over its biggest competitor, CoinShares, which currently manages just over $2.9 billion in assets.

Grayscale currently offers eight single-asset trusts, as well as a diversified large cap fund; the Grayscale Bitcoin Trust (GBTC) alone represents over $20 billion.

Disclaimer

The views and opinions expressed by the author are for informational purposes only and do not constitute financial, investment, or other advice.

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Bitcoin (BTC) $ 27,639.41 1.53%
Ethereum (ETH) $ 1,668.19 3.44%
Litecoin (LTC) $ 66.29 2.31%
Bitcoin Cash (BCH) $ 247.67 1.76%