Grayscale announced the launch of a ‘Dynamic Income Fund’ focused on investing in proof-of-stake tokens. Posted on On Friday.
Grayscale said in its description that the fund, named GDIF, is for accredited investors with net assets of at least $2.2 million.
The company also said that GDIF will be a product of Grayscale. “It is the first actively managed investment product.” Grayscale said in a statement that the financial product will aim to “optimize income in the form of staking rewards associated with proof-of-stake digital assets.” The fund manages the staking and unstaking of multiple tokens and delivers rewards to investors.
Grayscale’s Spot Bitcoin ETF, which allows people to gain exposure to cryptocurrencies without purchasing them directly, is authorized and regulated by the U.S. Securities and Exchange Commission (SEC). Since it began trading in January, the ETF has lost billions of dollars and remains the largest in terms of assets under management, according to The Block Data Dashboard. When ranked by trading volume, Grayscale is second only to BlackRock’s Spot Bitcoin ETF.
The Fund is not regulated by securities laws.
In its disclosure, Grayscale explained how GDIF will work. “The interests in GDIF have not been and will not be registered under the U.S. Securities Act of 1933 or any other state or other securities laws,” the company said.
Grayscale’s disclosure states that the fund “will not be registered as an investment company under the U.S. Investment Company Act of 1940… will not be required to comply with certain restrictions and requirements under the Investment Company Act, and investors will enjoy the protections of the Investment Company Act.” received.”
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RT Watson is a senior reporter at The Block, covering a variety of topics including US-based companies, blockchain games, NFTs, and more. He previously covered entertainment for The Wall Street Journal and has covered companies including Disney, Netflix, and Warner Bros. and the creator economy, with a primary focus on technological innovation across media. Previously, she covered corporate, economic and political news in Brazil at Bloomberg. She interviewed a wide range of figures for RT, including CEOs, media moguls, top influencers, politicians, blue-collar workers, drug traffickers, and convicted criminals. She holds a Master’s degree in Digital Sociology.