We advised Grayscale on securing SEC approval for the NYSE Arca listing

Davis Polk advised Grayscale Investments Sponsors, LLC on the successful uplisting of Grayscale CoinDesk Crypto 5 ETF to an exchange-traded fund, or ETF. The fund is the first multi-asset crypto ETF in the United States, offering diversified exposure to the five largest and most liquid crypto assets meeting certain criteria set by the fund – Bitcoin, Ether, XRP, Solana and Cardano.

The fund tracks the CoinDesk 5 Index, developed by CoinDesk Indices, a leading crypto index provider, and rebalances quarterly to maintain alignment with the leading assets in the crypto market. As of today, the fund delivers exposure to over 90% of the total cryptocurrency market capitalization, excluding stablecoins and memecoins, which positions it as a compelling option for investors seeking broad participation in the digital asset ecosystem through traditional brokerage and retirement accounts.

Shares of the fund are listed on NYSE Arca under the ticker “GDLC.” Approval of the ETF application and listing does not indicate Securities and Exchange Commission approval of the investment opportunity.

Davis Polk also assisted Grayscale with the launch of GDLC as a Cayman Islands limited liability company in 2018 through a private placement to accredited investors. Since then, GDLC has been among the first investment vehicles solely invested in, and deriving value from, a basket of large-cap digital assets in the form of a security while avoiding the challenges of buying, storing and safekeeping those digital assets directly.

The Davis Polk capital markets team included partners Joseph A. Hall and Daniel P. Gibbons and associates Dylan H. Lojac, Jenny (Jingjing) Li and Wilson Lin. Partner Zachary J. Zweihorn and associates Justin Levine and Boaz B. Goldwater provided financial institutions advice. The tax team included partners Patrick E. Sigmon and Lucy W. Farr and associates Ted Lee and Seth Cole. Members of the Davis Polk team are based in the New York and Washington DC offices.

Copy link to share post