Key Points
- Grayscale Investments announced the public launch of Grayscale Avalanche Trust.
- “The Trust” offers investors exposure to Avalanche (AVAX).
In an official press release, Grayscale Investments announced the creation and public launch of Grayscale Avalanche Trust (“the Trust”).
Grayscale Investments is the world’s largest crypto asset manager, offering over 20 crypto investment products and having around $25.7 billion in assets under management as of August 1, 2024.
Exposure to Avalanche (AVAX)
The Trust provides investors the chance the get exposure to Avalanche (AVAX), the three-chain smart contract platform designed to optimize the following:
- Scalability
- Network security
- Decentralization
Avalanche helped facilitate the mass adoption of RWA (real-world asset) tokenization via strategic partnerships.
RWA tokenization is the process of converting physical or tangible assets including real estate, commodities, or art into digital tokens on a blockchain.
Grayscale’s Head of Product & Research, Rayhaneh Sharif-Askary, said that the launch of Grayscale Avalanche Trust highlights the firm’s continuous commitment to offering investors innovative opportunities to access exciting developments in the crypto ecosystem.
She continued and said that Avalanche has a crucial role in advancing RWA tokenization through its key partnerships and unique, multi-chain structure.
According to the official release, the Trust is now open for daily subscription by eligible accredited investors. The Trust functions like Grayscale’s single-asset investment trusts and only invests in AVAX, the token of the Avalanche network.
Grayscale also revealed the important announcement via its X account.
We are proud to announce the creation of a new single-asset crypto investment fund, available through private placement: Grayscale Avalanche Trust $AVAX.
Available to eligible accredited investors.
Read the press release: https://t.co/XwKfjPD9Tw pic.twitter.com/HdzlNfwkQ8
— Grayscale (@Grayscale) August 22, 2024
Grayscale Cautions About Investment Risks
In the official notes, Grayscale highlights that the press release is not an offer to sell or buy any security in any jurisdiction that is not viable according to the law.
Also, Grayscale wrote that it intends to attempt to have Shares of new products quoted on a secondary market, but there is no guarantee that this will be successful.
The firm highlighted that even if shares of certain products have been already approved for trading on a secondary market, this doesn’t mean that the Shares will ever obtain approval due to factors including questions that regulators such as the US SEC, FINRA, and others may have regarding the products.
Grayscale highlighted the importance of shareholders’ awareness regarding the risks in Shares’ investment.
