Grayscale Investments has filed with the U.S. Securities and Exchange Commission (SEC) to convert its existing Grayscale Aave Trust into a spot exchange-traded fund (ETF) that would directly hold AAVE tokens.
Grayscale Joins Race for Aave ETF With Direct Token StrategyGrayscale’s proposal would convert its closed-end Aave trust, launched in late 2025, into an ETF structure featuring a creation and redemption mechanism designed to align market prices more closely with net asset value. The fund would hold AAVE directly rather than relying on derivatives or a blended portfolio approach.
FAQ What did Grayscale file with the SEC?Grayscale filed a Form S-1 to convert its closed-end Aave trust into a spot ETF that would directly hold AAVE tokens. What ticker would the ETF use?The proposed ETF would trade on NYSE Arca under the ticker symbol GAVE. What fee would the fund charge?The filing lists a 2.5% annual sponsor fee based on net asset value. Who would custody the AAVE tokens?Coinbase is designated as both custodian and prime broker for the proposed ETF.
