Coinbase will provide custody while BNY Mellon will manage administration.
Digital asset investment platform Grayscale has set its sights on converting its Chainlink product into a fully regulated exchange-traded fund.
In a new filing on September 5 with the US Securities and Exchange Commission, the firm outlined plans to relaunch the Grayscale Chainlink Trust as an exchange-traded fund (ETF).
Under the structure put forward, Coinbase would provide custody, while BNY Mellon would manage administration and transfers.
Creation and redemption of shares would initially be limited to cash transactions in blocks of 10,000, with the option of token-based settlements left open for a later stage.
The company also signalled that staking of Chainlink could be added once regulators clarify the tax and compliance landscape.
Chainlink, the blockchain network that feeds external data into smart contracts, is valued at more than $15bn and sits among the top twenty crypto assets.
Grayscale already runs a Chainlink Trust, a private investment product holding LINK tokens.
These trusts are limited in scope and not as widely accessible to ordinary investors.
By applying to turn it into an ETF, Grayscale wants to make Chainlink exposure available on a mainstream stock exchange, NYSE Arca.
