Grayscale Proposes Conversion of Aave Trust to ETF on NYSE Arca
Crypto asset manager Grayscale has taken the next step in its ETF strategy by filing for approval to convert its trust tracking the native token of the Aave protocol into an exchange-traded fund. The fund would list on a major US equities exchange.
The company filed a Form S-1 registration statement with the Securities and Exchange Commission this past Friday, revealing its intention to convert the existing product. Upon approval, the trust would be renamed the Grayscale Aave Trust ETF and would trade on NYSE Arca under the ticker symbol GAVE.
Grayscale has outlined a fee structure of 2.5 percent for the proposed ETF. The filing also designates Coinbase as the primary custodian and prime broker, responsible for safeguarding the assets and facilitating trading.
The application adds momentum to a broader trend of asset managers seeking to launch ETFs tied to smaller-cap cryptocurrencies. Despite a current market downturn, the filing suggests that Wall Street’s demand for varied crypto investment vehicles remains strong.
