Grayscale's GDLC ETF Ushers in Diversified Crypto Index Era

Grayscale CoinDesk Crypto 5 ETF (GDLC) commenced trading on NYSE Arca on September 19, 2025, marking the first U.S.-listed multi-asset exchange-traded product (ETP) focused on digital assetsGrayscale CoinDesk Crypto 5 ETF (Ticker: GDLC) Begins Trading on NYSE Arca^[2]. The fund, which tracks the CoinDesk 5 Index, allocates 72.09% to Bitcoin (BTC), 17.08% to Ethereum (ETH), and smaller portions to XRP (5.67%), Solana (4.12%), and Cardano (1.04%)Grayscale CoinDesk Crypto 5 ETF | Grayscale^[1]. With $931.6 million in assets under management as of September 18, 2025, GDLC aims to provide investors with exposure to approximately 90% of the cryptocurrency market capitalizationGrayscale CoinDesk Crypto 5 ETF | Grayscale^[1]. The ETF carries a total expense ratio of 0.59% and is custodied by Coinbase Custody Trust CompanyGrayscale CoinDesk Crypto 5 ETF | Grayscale^[1].

The launch of GDLC follows a regulatory breakthrough by the Securities and Exchange Commission (SEC), which approved the conversion of Grayscale’s Digital Large Cap Fund into an ETP structureSEC Approves First Multi-Token Crypto ETF^[4]. Prior to uplisting, the fund traded over-the-counter since 2019 and has maintained a focus on large-cap digital assetsGrayscale CoinDesk Crypto 5 ETF (Ticker: GDLC) Begins Trading on NYSE Arca^[2]. Grayscale CEO Peter Mintzberg emphasized that the ETF addresses growing demand for diversified crypto exposure, stating, “We are ushering in the age of crypto index investing”New Grayscale ETF Holds Multiple Cryptocurrencies Together^[3]. The fund rebalances quarterly to maintain alignment with the CoinDesk 5 Index, which includes the five largest and most liquid cryptocurrencies by market capitalization and trading volumeGrayscale CoinDesk Crypto 5 ETF | Grayscale^[1].

Performance data highlights GDLC’s outperformance relative to Bitcoin in 2025. As of September 18, the ETF had gained 44% year-to-date, surpassing Bitcoin’s 33% gain by 11 percentage pointsNew Grayscale ETF Holds Multiple Cryptocurrencies Together^[3]. This outperformance is attributed to the inclusion of altcoins like Solana and XRP, which have seen strong price momentum. Grayscale notes that the fund’s structure avoids direct ownership of digital assets, instead deriving value from a basket of tokens held indirectlyGrayscale CoinDesk Crypto 5 ETF | Grayscale^[1]. The ETF’s net asset value (NAV) per share stood at $58.71, with no distribution frequencyGrayscale CoinDesk Crypto 5 ETF | Grayscale^[1].

Industry analysts view GDLC as a catalyst for broader crypto ETP innovation. Bloomberg Intelligence’s James Seyffart predicts that index-based crypto ETFs will become a dominant category, with products like Bitwise’s 10 Crypto Index Fund likely to followSEC Approves First Multi-Token Crypto ETF^[4]. The SEC’s recent approval of expedited listing rules for commodity-based ETFs further signals regulatory openness to crypto productsSEC Approves First Multi-Token Crypto ETF^[4]. However, critics caution that smaller tokens in the basket, such as Cardano, carry higher volatility and liquidity risks compared to Bitcoin and EthereumSEC Approves First Multi-Token Crypto ETF^[4].

Grayscale’s launch of GDLC reflects broader institutional adoption of digital assets. The Trump administration’s policy shift toward including cryptocurrencies in retirement plans has spurred demand for regulated exposureNew Grayscale ETF Holds Multiple Cryptocurrencies Together^[3]. The ETF’s total expense ratio of 0.59% aligns with industry averages for crypto ETPs, though some experts argue that lower fees could attract more retail investorsSEC Approves First Multi-Token Crypto ETF^[4]. Grayscale’s long-standing track record—having pioneered the first Bitcoin trust in 2013—positions it as a key player in mainstreaming crypto investingGrayscale CoinDesk Crypto 5 ETF (Ticker: GDLC) Begins Trading on NYSE Arca^[2].