Crypto asset manager Grayscale has announced that its Digital Large Cap Fund has become a reporting entity to the U.S. Securities and Exchange Commission, including new Bitcoin Cash (BCH), Litecoin (LTC), and Ethereum Classic (ETC).
According to the release, Grayscale also filed SEC registration statements on Form 10 for the Grayscale Bitcoin Cash Trust, Ethereum Classic Trust, and Litecoin Trust.
The firm currently has bitcoin and Ethereum SEC-reporting entities authorized, with the other three expected to approve soon. The funds are now more appealing to investors as a result of essential aspects of the announcement.
Crypto market attracting new investors
In response to the news, Craig Salm, Vice President of Legal at Grayscale Investments, stated that Grayscale intends to offer the investment community a higher degree of transparency and reporting on top of their products’ already strict standards adhere to.
Salm implied the importance of setting high standards for investors wanting to invest in the crypto space. He said:
“Events such as the Fund becoming our third SEC reporting company, and the additional Form 10 filings, signal that there is continued investor interest in gaining exposure to the growing digital currency ecosystem within existing regulatory frameworks and that regulators continue to engage with market participants in the asset class.”
Grayscale preparing for ETF approval
Grayscale is taking another step toward launching a digital currency Exchange-Traded Fund (ETF). They witnessed an upsurge in demand for its products as the crypto market becomes a safer bet. Salm anticipates an ETF approval that will help the investment firm in the long run. However, he only expects it to get approval in 2022. Grayscale will have a better position after getting approval for ETFs, with its SEC reporting status established before an ETF approval.