Grayscale's Chainlink ETF Bid Sparks New Era for Regulated Crypto Investing

Grayscale has submitted a filing with the U.S. Securities and Exchange Commission (SEC) to convert its Chainlink Trust into a spot exchange-traded fund (ETF), marking a potential milestone in the U.S. cryptocurrency market. The proposed ETF, if approved, would trade under the ticker GLNK on NYSE Arca and provide traditional investors with regulated access to the price performance of Chainlink’s LINK token, which powers decentralized data feeds for blockchain applications and smart contracts [1]. The filing includes a provision for staking, allowing the fund to retain, distribute to shareholders, or sell staking rewards depending on regulatory guidance [2].

Chainlink’s LINK token has responded positively to the news, rising 3% in the past 24 hours amid a broader rally among altcoins such as XRP, SOL, and DOGE [1]. Grayscale’s Chainlink Trust, which has existed since February 2026, currently manages nearly $29 million in assets and would transition to the ETF under the custodianship of Coinbase Custody Trust Company [1]. The ETF would operate using a cash-creation and redemption model similar to recently approved spot bitcoin and ethereum ETFs, though it leaves room for in-kind redemptions if future regulations allow [2].

The move is part of Grayscale’s broader strategy to convert multiple single-asset crypto trusts into ETFs. Alongside the Chainlink filing, the firm has also submitted applications for ETFs tied to Solana, Dogecoin, and XRP [1]. Despite the SEC’s current lack of action on these pending applications, companies continue preparing products they believe could represent first-movers in their respective asset classes [2]. If approved, the GLNK ETF could offer a regulated avenue for investors to access Chainlink’s growing ecosystem and potentially benefit from staking income, a feature not widely available in U.S. crypto ETFs [1].

Meanwhile, Litecoin (LTC) has shown resilience, trading above $112 and exhibiting signs of a potential breakout driven by ETF-related optimism and favorable technical indicators [3]. Institutional support has also strengthened Litecoin’s long-term outlook, highlighted by a CAD $100 million expansion plan announced by Luxxfolio, a Canadian digital infrastructure company. This move underscores growing institutional interest in Litecoin and could help stabilize LTC prices and attract new market participants [3].

Technical analyses suggest Litecoin is emerging from a consolidation phase, with projections pointing toward a medium-term target of $125.65 and a longer-term range of $143–$153 over the next 8–12 weeks [3]. Litecoin is currently trading above its 200-day simple moving average at $97.76, indicating a sustained bullish trend. A breakout above $124.77 with strong volume could confirm an upward trajectory, with $134 and $143 as key resistance levels [3]. However, a drop below $106.38 would signal a bearish shift, potentially dragging the price toward $97.76 or lower [3].

Social media engagement and ETF speculation have also contributed to Litecoin’s recent momentum. A viral exchange between Litecoin’s official account and crypto influencer Benjamin Cowen has energized the community, while institutional filings, including Grayscale’s application to convert its Litecoin Trust into an ETF, have added to the optimism [3]. These developments suggest that Litecoin may be positioning itself for a significant move in the coming months, contingent on regulatory decisions and broader market conditions [3].

Source:

[1] Chainlink Jumps as Grayscale Files for First-Ever U.S. Chainlink ETF (https://www.coindesk.com/markets/2025/09/08/chainlink-jumps-as-grayscale-files-for-first-ever-u-s-chainlink-etf)

[2] Grayscale Files for What Could Be First-Ever U.S. Chainlink ETF (https://finance.yahoo.com/news/grayscale-files-could-first-ever-142738823.html)

[3] Litecoin Steadies Above $112 as ETF Buzz and Technical Setup Signal a Potential Rally to $125–$153 (https://bravenewcoin.com/insights/litecoin-ltc-price-prediction-litecoin-steadies-above-112-as-etf-buzz-and-technical-setup-signal-a-potential-rally-to-125-153)