Key highlights:

  • Grayscale is gearing up to launch the first US Worldcoin ETF
  • The asset manager has filed an S-1 registration statement with the SEC
  • The WLD price has seen an 8% surge in the past 24 hours

Asset manager Grayscale has reportedly filed to launch the first US-based spot Worldcoin ETF. If approved, the exchange-traded fund will trade on Nasdaq under the ticker GWLD, giving investors indirect exposure to the WLD token.

Driven by this significant development, the WLD price has seen a notable uptick of nearly 8% in a day. This crypto price surge highlights the renewed investor interest in Worldcoin. As asset managers continue to broaden their ETF offerings beyond Bitcoin and Ethereum, investors are turning their attention to emerging altcoins like Worldcoin.

Grayscale moves to launch first US spot Worldcoin ETF

According to an S-1 registration statement with the US Securities and Exchange Commission (SEC), Grayscale is set to launch a spot Worldcoin ETF. Upon approval, the fund will become the first US-based WLD exchange-traded fund. The ETF will provide investors access to the Worldcoin crypto without directly holding the token.

Notably, WLD is the native token of the World network (formerly Worldcoin), a digital identity and financial platform co-founded by OpenAI CEO Sam Altman. WLD is an ERC-20 token built on the Ethereum blockchain.

Interestingly, the potential launch of the Worldcoin ETF expands Grayscale’s current portfolio of Bitcoin ETFs and multiple altcoin funds, including products for investing in Ethereum, XRP, Solana, Dogecoin, and Chainlink. It also marks a major milestone in the broader expansion of the US crypto ETF market beyond Bitcoin and Ethereum.

How does the proposed Worldcoin ETF work?

The filing revealed that BitGo Bank & Trust will be the custodian for safeguarding the fund’s Worldcoin holdings. The company also stated that BNY Mellon is the administrator and CSC Delaware Trust Company is the trustee. At the same time, the company hasn’t revealed key details such as the ETF’s management fee, seed capital, authorized participants, or liquidity providers.

Further, the asset manager stated that the ETH is designed to provide investors with indirect exposure to the WLD crypto through a traditional brokerage account. This means that investors do not need to create a wallet, manage private keys, or buy and store WLD tokens directly on a crypto exchange. This makes it easier for both retail and institutional investors to access the cryptocurrency.

However, the filing does not guarantee the potential approval of the Grayscale Worldcoin ETF. The current S-1 registration statement is only the initial step in the regulatory process. Following this process, the SEC needs to review and approve the fund before it can trade on Nasdaq. In addition, the company is required to submit updated filings or additional information before its final approval.

WLD price soars 8% after Grayscale’s ETF application

After Grayscale filed for the spot Worldcoin ETF with the SEC, the WLD price saw a significant spike. Currently trading at $0.3843, the token has jumped by a notable 7.8% in the last 24 hours. But the token is still in the negative sphere on a long-term basis. Over the past week and month, the WLD price has dropped by 5% and 36%, respectively.

 

Nonetheless, the traders’ sentiment has turned positive in line with the current bullish momentum. Traders may be largely accumulating the token, convinced about its future. The 24-hour trading volume is now at $180.25 million, up 12%.