Avalanche (AVAX) pumps 30% as Grayscale unveils AVAX investment trust
The current trade price of AVAX coin, the native token of the Avalanche blockchain network, is $26.21, which is 30%+ higher over the last 7 days. Notably, the trade price of this cryptocurrency surged by 12% in the last 24 hours.
The main credit for this sudden rally in the trade price of this cryptocurrency goes to the launch of a new financial product by popular digital assets fund manager Grayscale Investments.
On 22 Aug 2024, the Grayscale team announced the launch of the Grayscale Avalanche Trust $AVAX. This crypto financial product is a single-asset crypto investment fund, which is available through private placement.
The Grayscale team stated that Grayscale Avalanche Trust offers investors the opportunity to gain exposure to Avalanche $AVAX, a three-chain smart contract platform that aims to solve the “blockchain trilemma.”
Grayscale & Bitcoin Spot ETF
Grayscale is a very big name in the crypto sector. Some crypto advocates believe that the approval of Bitcoin spot ETF products in the US was possible because of Grayscale’s legal efforts.
When the United States Securities and Exchange Commission (SEC) rejected multiple Bitcoin spot ETF applications but approved Bitcoin futures ETFs, Grayscale challenged the SEC’s stance via a legal process and won the case.
Later, the entry of BlackRock and other fund managers in support of Bitcoin spot ETF applications made BITCOIN spot ETF a reality in Jan 2024.
Currently, Grayscale is the second-largest crypto assets fund manager, following BlackRock, which has been first in the race for the last 7 days because of a huge capital investment inflow for its Bitcoin spot ETF product, IBIT.
