Grayscale, the drive behind issuing of crypto-based investment vehicles, has expanded its offerings by adding coins which performed best in price and volumes over the past months.
The new offerings comprise of Ethereum (ETH), Bitcoin Cash (BCH), Litecoin (LTC), and Ripple (XRP). Adding an ETH-based fund is interesting, given the fact that Grayscale gambled on Ethereum Classic (ETC) performance in the market for a long time. At the moment, Ethereum has once again been proven to be a potential strong performer for 2018, demanding the creation of a fund.
Before this expansion, Grayscale was initially offering its investors three investment trusts which are Ethereum Classic (ETC) Investment Trust Bitcoin (BTC) Investment Trust and ZCash (ZEC) Investment Trust to investors.
The investors will be receiving shares in Trusts they invest in. The main goal of the Trust is to observe the value of XRP, BCH, LTC, and ETH respectively, held by every Trust, less each of the Trust’s expenses as well as other liabilities.
The investment firm stated that the accredited investors would be in a better position to put money into Bitcoin Cash, Litecoin, Ether, and Ripple. Each of these funds will operate as trust, and the shares will be subject to a holding period of one-year before they can be sold again with no restriction.
Grayscale manages approximately $2.1 billion in assets, after starting with Bitcoin Investment Trust in 2013, concentrating on the famous cryptocurrency.
The newly added funds could expand the geographic reach of the New York-based company’s. Grayscale’s managing director Michael Sonnenshein, feels there is much interest and focus in Ripple in Japan.
Sonnenshein said in a phone interview added that more fund offerings would be coming from the Grayscale family this year, stating that some of those offerings will be focused on single currencies whereas other funds may hold several coins.
Since the Trusts do not currently run a redemption program, there is no assurance about the value of the shares equaling the value of the corresponding digital asset that each Trust is holding. Besides the shares may trade at a discount to or considerable premium over the value of the digital assets that each Trust holds if traded on any secondary market in the future.