Grayscale launches the PYTH token investment fund to expand public participation in Solana's ecosystem investment opportunities.

Grayscale, an encryption asset management company, announced the launch of an investment fund for PYTH, the native coin of Pyth Network, aiming to provide investors with higher risk and higher return opportunities in the Solana ecosystem. Meanwhile, the SEC is considering approving the company's Ethereum ETF options trading.

Grayscale launches the Pyth investment fund, designed specifically for eligible investors

Grayscale announced the launch of the Grayscale PYTH Investment Fund yesterday, as an investment product only open to qualified investors, focusing on the governance token of the Pyth Network.

According to reports, Pyth Network is a decentralized oracle project based on Solana (oracles), dedicated to providing real-time market data such as encryption coin, stocks, and commodities to various networks, and transmitting them to over 90 blockchain networks. Among them, about 95% of decentralized applications (DApps) in the Solana ecosystem rely on Pyth's price information, demonstrating the project's market dominance.

Grayscale product and research director Rayhaneh Sharif-Askary pointed out that Pyth plays a key role in the Solana ecosystem by providing accurate and real-time data delivery:

By launching the fund, we will provide investors with more high-potential return opportunities related to Solana rise.

Solana TVL rides the roller coaster

Last year, the Solana ecosystem experienced a rapid rise, mainly driven by the meme coin frenzy, with the total value locked (TVL) in the network soaring from about $1.4 billion in early 2024 to a peak of $12 billion, and now plummeting to $8.2 billion in just a few days.

(Meme coin attracts huge investment! Solana Q4 DApp revenue surged by 213%, with DEX daily trading volume reaching as high as 3.3 billion USD)

As for the reason for the sharp drop in TVL, it may be due to the ecological DEX Jupiter being involved in insider trading scandals, as well as the high-risk characteristics of Solana's meme coin PVP, which have severely hit retail investors.

(Rat's nest, insider trading, presidential coin printing machine? A glimpse into the dark secrets behind LIBRA meme coin collapse)

Grayscale continues to expand encryption investment product portfolio

Recently, Grayscale has been actively expanding its single-coin encryption investment products, with the Pyth Investment Fund being just one of its latest additions, and it previously released an observation list of "potential future investment products".

(Grayscale also plays Alpha? Announcement of the observation of the five asset categories under its flag, with PoW public chain Kaspa leading the candidate list)

However, Grayscale's most well-known products are still the Bitcoin spot ETF (GBTC) and the Ethereum spot ETF (ETHE).

SEC is considering approving Grayscale Ethereum ETF options trading

Meanwhile, the U.S. Securities and Exchange Commission (SEC) has recently opened up to public comments to discuss whether to approve three ETF options based on Grayscale Ethereum Trust (ETHE), Grayscale Ethereum Mini ETF (ETH), and Bitwise Spot ETF (ETHW).

Recently released documents show that the SEC is considering whether to allow Cboe Exchange to list and trade options products on these Ethereum spot ETFs. The deadline for public comments is 21 days after the Federal Register is published, and the SEC may decide to 'approve, reject, or further review'.

Currently, the SEC has not approved any Ethereum spot ETF options trading, but approved a series of Bitcoin spot ETF options trading in October last year.

(SEC fully approves Bitcoin spot ETF options listing )

Grayscale's PYTH ETF represents its strategy to further expand the investment products in encryption and strengthen its layout in the Solana ecosystem. With the SEC Ethereum spot ETF options trading approval pending, the financial product diversity in the encryption market is entering a new phase.

This article Grayscale launches the PYTH coin investment fund to expand public participation in Solana's ecological investment opportunities first appeared on Chain News ABMedia.