Grayscale Investments has registered a limited liability company for the Yearn Finance (YFI) fund, giving the first indication that the asset manager is considering DeFi currency.
The new YFI entity was established as a statutory trust in Delaware on February 10, 2021. Grayscale now has 33 registered trusts in the state, although only nine of them are active based on On the asset management reports of the fund manager. This includes the industry-leading Bitcoin Trust, which has nearly $ 30 billion in assets.
Grayscale has also incorporated LLCs for Polkadot, Uniswap, Theta, and Cardano, among many others. Registering a company does not imply that the new business entity is operating. In this case, the LLC is a placeholder for a future fund proposition that may or may not pay off.
A spokesperson for Grayscale told Cointelegraph that the new entity is merely a “deposit for reservation” that could become operational in the future:
Grayscale is always looking for opportunities to offer products that meet investor requirements. Occasionally, we will make reservation deposits, although a deposit does not mean that we will bring a product to market. Grayscale has continued advertising and will continue to announce the availability of new products to investors.
Despite this “reservation” status, as well as the cheap cost of registering a Delaware LLC (Grayscale itself is a Delaware registered company), the process is not free, and registrants usually need to pay an annual fee to maintain their active status. Even if YFI confidence isn’t close to launch, that’s at least a clear indication of interest.
Grayscale mutual funds have attracted a lot of interest from ordinary investors looking to access cryptocurrencies via traditional vehicles. The fund manager remains the de facto leader in this area, with total assets doing well north $ 36 billion.
10/2/21 update: Net assets under management, assets per share, and market price per share for our investment products.
Grayscale February 10, 2021
Yearn Finance offers one of DeFi’s most compelling value propositions. It is the only digital asset that reflects Bitcoin (BTC) in terms of price, which is largely due to its extremely limited supply and its role as a pool of DeFi investors. During the first wave of DeFi mania last summer, YFI momentarily overtook Bitcoin’s price.
YFI hit a new all-time high on Thursday, rising above $ 45,500 for the first time.