Grayscale's Crypto 5 ETF Bridges Traditional and Digital Finance

Grayscale CoinDesk Crypto 5 ETF (Ticker: GDLC) has commenced trading on the NYSE Arca as the first U.S.-listed multi-asset crypto exchange-traded product (ETP). The fund provides exposure to 90% of the cryptocurrency market capitalization by holding the five largest and most liquid digital assets: Bitcoin, Ethereum, XRP, Solana, and CardanoGrayscale CoinDesk Crypto 5 ETF Begins Trading on NYSE Arca^[1]. This product, formerly known as the Grayscale Digital Large Cap Fund, is structured to simplify access to the crypto market while addressing custody risks associated with direct ownership of digital assetsGrayscale CoinDesk Crypto 5 ETF Hits NYSE Arca Today^[3].

The ETF tracks the CoinDesk 5 Index, a market capitalization-weighted benchmark developed by CoinDesk Indices. The index is rebalanced quarterly to align with the top five crypto assets based on liquidity and market capitalization, excluding stablecoins, memecoins, and privacy tokensGrayscale CoinDesk Crypto 5 ETF Begins Trading on NYSE Arca^[1]. As of September 2025, the portfolio is allocated with approximately 72.09% in Bitcoin, 17.08% in Ethereum, 5.67% in XRP, 4.12% in Solana, and 1.04% in CardanoGrayscale CoinDesk Crypto 5 ETF^[2]. This structure aims to reflect the performance of the most established assets in the crypto ecosystem.

Grayscale’s CEO, Peter Mintzberg, emphasized that the ETF addresses a decade-long demand for diversified crypto exposure. By offering a single product that aggregates the largest market-cap assets, GDLC reduces the complexity of selecting individual tokens while maintaining transparencyGrayscale CoinDesk Crypto 5 ETF Hits NYSE Arca Today^[3]. The fund’s total assets under management (AUM) stood at approximately $931.6 million as of September 2025, with a total expense ratio of 0.59%Grayscale CoinDesk Crypto 5 ETF^[2]. Investors should note that GDLC is not registered under the Investment Company Act of 1940, which means it operates under different regulatory safeguards compared to traditional ETFsGrayscale CoinDesk Crypto 5 ETF Begins Trading on NYSE Arca^[1].

The launch of GDLC follows recent regulatory changes by the U.S. Securities and Exchange Commission (SEC), which streamlined approval processes for commodity-based ETPsGrayscale CoinDesk Crypto 5 ETF Hits NYSE Arca Today^[3]. This regulatory shift has accelerated the availability of crypto-related investment products, enabling traditional investors to access the asset class with reduced technical and custody barriers. The ETF’s uplisting to NYSE Arca from the OTCQX market in 2025 marks a significant step in institutionalizing crypto investingGrayscale CoinDesk Crypto 5 ETF^[2].

Historically, the fund began trading as an OTC-quoted product in 2019 and became a reporting company under the Securities Exchange Act of 1934 in 2021Grayscale CoinDesk Crypto 5 ETF Begins Trading on NYSE Arca^[1]. Its transition to an ETP structure allows for continuous creation and redemption of shares, enhancing liquidity compared to its pre-ETP incarnation. The product’s performance data highlights a 440.60% cumulative return since inception, with a 12.41% gain over three months as of September 2025Grayscale CoinDesk Crypto 5 ETF^[2]. However, investors are cautioned about the inherent volatility and illiquidity risks of cryptocurrencies, as well as the potential for market manipulationGrayscale CoinDesk Crypto 5 ETF Begins Trading on NYSE Arca^[1].

Grayscale’s entry into the ETP space underscores growing institutional interest in crypto assets. By consolidating exposure to the largest market-cap tokens, GDLC aims to serve as a bridge between traditional finance and the digital asset ecosystem. The fund’s structure, combined with its regulatory compliance and strategic rebalancing, positions it as a key tool for investors seeking diversified crypto exposure without direct custody challengesGrayscale CoinDesk Crypto 5 ETF Hits NYSE Arca Today^[3].