SEC Approves Grayscale’s Digital Large Cap Fund ($GDLC), but What Does it Mean?

SEC Approves Grayscale’s Digital Large Cap Fund ($GDLC), but What Does it Mean

The U.S Securities and Exchange Commission (SEC) has given a green-light to Grayscale Digital Large Cap Fund ($GDLC), allowing it to trade in the stock exchange. This ruling marks a significant move in the shifting attitude of the regulator towards crypto products, alongside lax regulations on exchange-traded funds (ETFs).

To conventional investors, the approval reduces the obstacles to crypto exposure and indicates a wider change in crypto-related regulations. It also opens the door for institutional capital to ‘flood’ the market on a large scale. Market watchers now anticipate a ripple effect that has the potential to increase the role of crypto in mainstream finance

Grayscale to Launch Multi-Asset Crypto ETP

Grayscale’s Digital Large Cap Fund is now the first multi-asset crypto Exchange-Traded Product (ETP) approved for U.S markets. As confirmed by the CEO Peter Mintzberg, the firm’s first-of-a-kind multi crypto asset ETP has received official approval from the SEC

Grayscale Digital Large Cap Fund $GDLC was just approved for trading along with the Generic Listing Standards. The Grayscale team is working expeditiously to bring the *FIRST* multi #crypto asset ETP to market with Bitcoin, Ethereum, XRP, Solana, and Cardano#BTC #ETH $XRP $SOL…

— Peter Mintzberg (@PeterMintzberg) September 17, 2025

This fund includes Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Cardano (ADA). As of September, the portfolio is diversified to 72.23% BTC, 12.17% ETH, 5.62% XRP, 4.03% SOL, 1% ADA.

Grayscale first launched GDLC in 2018 as an over-the-counter product, designed to give investors exposure to leading cryptocurrencies without the hassle of custody. Moving the fund to a listed ETP format brings greater liquidity, transparency, and ease of access for both institutional and retail participants.

In July, the SEC delayed its ruling on GDLC’s conversion, citing the need for further review. At that time, investors were uncertain about when the regulator would move forward. The latest decision now gives Grayscale a head start in creating the first multi-asset ETP.

With the Generic Listing Standards now in place, the approval of crypto products may also be expedited. Such a model would allow more convenient filings and allow reviewing and allow more companies to introduce similar products.

Grayscale’s Digital Large Cap Fund Approval Triggers Altcoin Optimism

The approval of the Grayscale’s Digital Large Cap Fund has elicited optimism across the crypto market. Altcoin communities, in particular, Ethereum, Solana, XRP, and Cardano, received the news enthusiastically. These investors see the decision as an early step toward potential dedicated ETFs for these assets.

For instance, Nate Geraci – the Co-Founder of the ETF Institute – highlighted the significance of the ruling, expressing his enthusiasm on X. He wrote;

Btw, one last note…

Lost in the news of the generic listing standards was that the SEC has *approved* the Grayscale Digital Large Cap ETF.

Holds btc, eth, *xrp*, *sol*, & *ada*. pic.twitter.com/WTHSBhgXTe

— Nate Geraci (@NateGeraci) September 18, 2025

Meanwhile, Grayscale is not the only firm in the spotlight. Bitwise is waiting for the SEC’s decision on its Bitwise 10 Crypto Index Fund (BITW). BITW includes a wider basket of crypto assets than GDLC, and analysts believe it could be next in line for approval