Solana News Today: Grayscale Aims to Unlock Income for Crypto Investors with Staking-Ready Chainlink ETF

Grayscale has taken a significant step in the development of a potential U.S. exchange-traded fund (ETF) for Chainlink, submitting an S-1 registration statement to the U.S. Securities and Exchange Commission (SEC) to convert its existing Chainlink Trust into a spot ETF [1]. If approved, the fund would trade on NYSE Arca under the ticker symbol GLNK, aligning with the regulatory process for ETFs. The S-1 filing marks one of two necessary documents required to formalize the ETF application.

The proposed ETF would operate using a structure similar to recently approved spot ETFs for bitcoin (BTC) and ethereum (ETH), processing share creations and redemptions in cash [1]. However, the filing also includes flexibility for in-kind redemptions should future regulations permit such mechanisms. The Grayscale Chainlink Trust, which has been in existence since February 2026, currently holds approximately $29 million in assets and will serve as the foundation for the new ETF. Coinbase Custody Trust Company has been designated as the custodian for the underlying LINK tokens.

A notable feature of the filing is the potential inclusion of staking capabilities. If allowed by regulators, the fund could engage third-party staking providers while maintaining LINK tokens in custodial wallets [1]. Staking rewards could be retained, distributed to shareholders, or sold to cover operational expenses, depending on future guidance from the SEC. This could differentiate the GLNK ETF from most U.S. crypto ETFs by providing an income component for investors.

The initiative is part of a broader strategic shift by Grayscale to transition several single-asset cryptocurrency trusts into ETF structures. Pending applications also include ETFs linked to Solana (SOL), Dogecoin (DOGE), and XRP [1]. Despite the lack of decisions from the SEC under Chair Paul Atkins, companies continue to prepare products they believe could represent first-in-class offerings in the crypto asset space.

Market sentiment appears cautiously optimistic. The LINK token has risen by 3% over the past 24 hours, reflecting a broader rally in altcoins such as XRP, SOL, and DOGE [1]. The potential approval of the GLNK ETF could provide traditional investors with regulated access to Chainlink’s price performance, which is essential for decentralized data feeds and smart contracts in blockchain ecosystems. This development could also enhance the U.S. crypto market by offering new investment vehicles with additional income-generating features.

Source: [1] Grayscale Files for What Could Be First-Ever U.S. Chainlink ETF (https://finance.yahoo.com/news/grayscale-files-could-first-ever-142738823.html)