What do you know about the new proposed Grayscale Privacy ETF?

Today I am not here to write about the Bictoin price action, but to share some information linked to the cryptocurrency market, specifically about privacy cryptocurrencies and why they do not enjoy the sympathy of regulators and beyond that Grayscale wants to bring them to ETFs.

According to information disclosed in the finance section of the CryptoNews portal, "Grayscale filed the proposal with the U.S. Securities and Exchange Commission (SEC) under the name Grayscale Privacy ETF (PRVC). If approved by the agency, this product will offer investment results that track the performance of the Indxx Privacy Index, which tracks industry stocks."

Additionally it was "Specified that the ETF will invest at least 80% of its net assets in stocks of companies in five areas. These are data services solutions, cyber protection services, the blockchain-based privacy solutions, network and communications security, and digital asset protocols dedicated to preserving privacy"

On the other hand, "This initiative takes place against a backdrop of increased scrutiny and regulatory attention on privacy tokens due to concerns about their possible illicit use. As CryptoNews reported, such a scenario has recently led to major cryptocurrency exchanges such as Binance and OKX removing Monero from their platforms."

Finally, "At this time of regulatory scrutiny over privacy tokens, it will have to be seen whether the SEC gives the green light to Grayscale's proposed ETF focused on this topic. Its application comes a month after the agency cleared bitcoin spot exchange-traded funds and as it evaluates whether to approve those based on ether (ETH), Ethereum's currency."


Cointelegraph. Exchanges withdraw cryptocurrencies from privacy, but Grayscale wants to bring them into ETFs. Link


The cover image does not belong to the author: @lupafilotaxia, the image was taken from: CryptoNews