Grayscale Introduces New Investment Trust for MakerDAO Token: Essential Insights

Essential Highlights

• Grayscale, a leading digital asset manager, has launched the Grayscale MakerDAO Trust.
• MakerDAO operates as a decentralized autonomous organization behind the Ethereum-based DAI stablecoin.
• Unlike conventional spot bitcoin and ether ETFs, this fund is a close-ended investment trust, not yet publicly traded, and available exclusively to accredited investors.
• Previously, Grayscale's bitcoin and ether funds were also structured as trusts before transitioning into ETFs.

Grayscale’s newest fund, the Grayscale MakerDAO Trust, provides investors with exposure to Maker (MKR), the key governance and utility token of MakerDAO.

MakerDAO is renowned for managing the DAI stablecoin on the Ethereum blockchain, ranking as the third-largest stablecoin after Tether (USDT) and USD Coin (USDC).

Distinguishing This Fund from Traditional Crypto ETFs

It is crucial to understand that this offering is structured as a closed-end investment trust. Unlike exchange-traded funds, such trusts have limited liquidity and often trade at prices differing from their net asset value.

Consequently, the Grayscale MakerDAO Trust differs from Grayscale's spot bitcoin (GBTC) and ether (ETHE) ETFs, as it is not yet exchange-listed and is accessible only to accredited investors.

Additionally, this fund does not permit redemptions, effectively locking investors' capital for at least one year before shares can be resold on secondary markets. The fund also imposes a 2.5% management fee.

Grayscale’s previous bitcoin and ether funds followed a similar trust structure prior to receiving approval from the U.S. Securities and Exchange Commission to convert into ETFs.

This launch follows Grayscale’s earlier introduction of trusts for native tokens such as Bittensor (TAO) and Sui (SUI) in August.

Following the announcement, the price of MKR surged approximately 5%.

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