The world’s largest digital asset manager, Grayscale, is reportedly launching an exchange-traded fund in Europe. The product, which tracks the “Bloomberg Greyscale Index of the Future of Finance,” will launch in the UK, Germany and Italy.
The first Grayscale ETF in Europe
A few weeks ago, CEO Michael Sonnenshein revealed that the company is looking to expand its services to the European market without disclosing the precise nature of the products.
According to a recent report by Reuters, Grayscale will introduce a cryptocurrency ETF that tracks the “Bloomberg Grayscale Finance Futures Index.” It consists of a range of companies that are part of the crypto industry, such as exchanges, miners, asset managers, brokers, and technology companies.
Initially, the product will be listed on the London Stock Exchange, Germany’s Deutsche Börse Xetra and Italy’s Borsa Italiana. It will be launched on May 17, as it is the first time that the US digital asset manager has launched a fund in Europe.
“For us, the digital economy is… being driven primarily by the proliferation of digital assets.” Sonnenshein commented.
Grayscale is among the companies looking to launch a spot Bitcoin ETF in the United States. In 2021, he applied for SEC approval to convert his Grayscale Bitcoin Trust into a Spot Bitcoin ETF. Despite the 75-day review period (already passed), the regulator has not yet approved it.
Rejecting the Bitcoin ETF could lead to a lawsuit
Grayscale seems quite determined to introduce an exchange-traded fund that tracks the performance of bitcoin in the US Almost a month ago, CEO Sonnenshein said the company is willing to do whatever it takes to complete that goal. When asked if Grayscale could take legal action against the SEC, he said:
“I think all options are on the table.”
Previously, in December 2021, the legal director, Craig Salm, argued that the possible decision of the regulator to reject the product could be against the law. He added that the Commission could have a “clear view” on ETFs, but should show a “reasonable probability” on it.
The watchdog’s decision on Grayscale’s filing is expected in July. Sonnenshein urged all the participants involved in the process to communicate their points of view with each other and establish an agreement that satisfies both parties.
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