Catenaa, Wednesday, August 27, 2027- Grayscale Investments has filed paperwork with the U.S. Securities and Exchange Commission seeking to transform its Avalanche Trust into a publicly traded spot AVAX ETF on Nasdaq.
The August 22 S-1 filing would give investors regulated exposure to AVAX, the native token of the Avalanche blockchain.
Grayscale said creations and redemptions will be conducted in cash through authorized participants, with Coinbase serving as prime broker for spot execution and custody. BNY Mellon is listed as administrator and transfer agent.
The trust is structured as a passive vehicle designed to mirror AVAX’s price, with potential to reflect staking rewards if certain conditions are met.
The filing states up to 85% of the trust’s tokens could be staked, though the provider would be restricted from moving unstaked AVAX to another address. No leverage or derivatives will be used.
Avalanche, a proof-of-stake Layer 1 blockchain, is known for fast transaction finality and its “subnets” design. The ETF effort expands Grayscale’s lineup beyond its dominant bitcoin and ether products, which together manage more than $30 billion in assets.
The firm is also pursuing approvals for Dogecoin, Solana, Cardano and Litecoin funds, while pressing the SEC to allow a multi-crypto ETF. Industry rivals including Bitwise, 21Shares and WisdomTree have also amended proposals for XRP ETFs amid a friendlier regulatory environment under President Donald Trump’s second term.
The filing comes as Grayscale prepares for a potential IPO and with founder Barry Silbert back as chairman. AVAX was trading at $24 Monday, down 4%, with a market cap of $10 billion.
