Grayscale Launches Trusts for DeepBook and Walrus Tokens on Sui Blockchain

Grayscale, the largest crypto asset manager globally, has introduced two new single-asset trusts offering exposure to DEEP and WAL tokens. These tokens are native to the DeepBook and Walrus protocols, which operate on the Sui (SUI) blockchain [1]. The trusts, launched in early August, are available to accredited and institutional investors and provide direct access to these altcoins, expanding Grayscale’s investment portfolio beyond major cryptocurrencies like Bitcoin and Ethereum [1].

The Grayscale DeepBook Trust and Grayscale Walrus Trust will exclusively hold DEEP and WAL tokens, respectively. These protocols are described as foundational components of the Sui ecosystem, with DeepBook supporting decentralized trading and Walrus enabling data infrastructure for DeFi and blockchain applications [1]. Rayhaneh Sharif-Askary, Head of Product and Research at Grayscale, emphasized that these new products give investors access to two core protocols driving innovation in the Sui ecosystem [1].

Adeniyi Abiodun, co-founder and chief product officer of Mysten Labs, described the launch of these trusts as a “pivotal moment” for Sui, highlighting the role of Walrus and DeepBook in advancing blockchain infrastructure [1]. He noted that the trusts represent a significant step in shaping the future of blockchain applications and may drive further adoption of the Sui platform. Following the announcement, the prices of both DEEP and WAL tokens saw an upward movement [1].

This strategic expansion aligns with a broader trend in the crypto market where altcoins are gaining increasing attention. Institutional adoption, improved regulatory clarity, and better liquidity conditions have created a favorable environment for lesser-known tokens to attract investment. Grayscale’s inclusion of DEEP and WAL reflects a shift in investor demand for diversified exposure within the crypto asset class [1].

While these tokens remain less known compared to major cryptocurrencies, their inclusion in institutional-grade investment vehicles like Grayscale’s trusts adds a layer of credibility and visibility. This development could encourage broader adoption and potentially boost price appreciation, assuming the underlying protocols continue to gain traction and utility [1].

Grayscale’s move also signals confidence in the Sui blockchain’s growth potential. SUI has attracted attention for its high throughput and developer-friendly environment. The DeepBook and Walrus protocols, as part of this ecosystem, are positioned to offer critical infrastructure for decentralized finance (DeFi) and data management. By offering direct exposure through these trusts, Grayscale is reinforcing the importance of blockchain innovation and its role in the future of finance [1].

The launch of these trusts, however, does not immediately provide secondary market liquidity. Investors will need to rely on the trust structure for exposure until such liquidity is established. The absence of a public market for these tokens means that their price discovery process remains uncertain in the short term. However, the introduction of these products may still attract significant interest, particularly from institutional investors who typically require custodial and compliance infrastructure before engaging with altcoins [1].

In the broader market context, Grayscale’s move coincides with a more bullish environment for crypto assets. Recent developments such as the anticipated approval of Ethereum-based ETFs, increased interest from macro investors, and favorable macroeconomic conditions have all contributed to renewed optimism in the sector [2]. Additionally, U.S. CPI data showing a cooling inflation rate has raised expectations for a Federal Reserve rate cut in September, which could further stimulate risk-on sentiment and drive capital into alternative assets, including crypto [2].

The inclusion of DEEP and WAL also reflects a growing interest among institutional investors in exposure to innovative blockchain protocols, beyond merely holding well-known tokens. As the SUI ecosystem continues to expand, with more dApps and infrastructure projects coming online, the demand for native tokens like DEEP and WAL is expected to grow. This trend could lead to a more diversified and resilient crypto market [1].

While Grayscale’s initiative is primarily a structural decision, it may have notable market implications. If the trusts attract substantial capital inflows, it could increase demand for DEEP and WAL, thereby influencing their price dynamics. However, the long-term success of these tokens will depend on the real-world utility and adoption of the DeepBook and Walrus protocols. For now, Grayscale’s move serves as a vote of confidence in the future of the Sui ecosystem and the broader altcoin market [1].

Source:

[1] https://en.bitcoinsistemi.com/a-critical-move-from-the-largest-crypto-asset-manager-grayscale-it-opened-two-more-unheard-of-altcoins-to-investors/

[2] https://coinpedia.org/crypto-live-news/