Grayscale is launching its Chainlink ETF (GLNK) on NYSE Arca, having accumulated a record reserve of LINK tokens ahead of the debut. This move transforms the existing Chainlink Trust into a more accessible investment vehicle, offering direct exposure to LINK while carrying higher risks due to its unregulated status under the 1940 Act.
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Grayscale’s LINK ETF launches on NYSE Arca after converting its Chainlink Trust, with a record 1.3 million LINK tokens secured.
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The ETF provides investors exposure to Chainlink’s oracle network without direct token ownership, amid LINK’s price hovering near yearly lows at $12.07.
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LINK supply on exchanges has dropped to near all-time lows of 8 million tokens, signaling potential scarcity, but trading volumes and open interest remain subdued at $235 million.
Discover Grayscale Chainlink ETF launch details: record LINK reserves secured, trading on NYSE Arca starts soon. Explore risks, supply trends, and market impact for informed crypto investing today.
What is the Grayscale Chainlink ETF and How Does It Work?
The Grayscale Chainlink ETF, ticker GLNK, is an exchange-traded fund set to launch on NYSE Arca, converting the existing Grayscale Chainlink Trust into a more liquid product for investors seeking exposure to Chainlink (LINK). This ETF holds a substantial reserve of LINK tokens, currently at a record 1.3 million, allowing shares to track the price of LINK indirectly. Unlike traditional ETFs, GLNK is not registered under the Investment Company Act of 1940, which enables faster listing but introduces elevated risks such as volatility and limited regulatory oversight.
How Has Grayscale Prepared for the LINK ETF Launch?
Grayscale has methodically built its position in LINK over the past year, culminating in a near-record supply accumulation just weeks before the ETF’s debut. Data from Arkham Intelligence indicates that this strategic buying aligns with broader market preparations for institutional entry into decentralized oracles like Chainlink. The fund’s approach ensures sufficient liquidity for ETF shares, though experts note that OTC supply and external demand will be critical in the coming weeks to sustain momentum. Chainlink’s role as a leading oracle network, providing secure data feeds to smart contracts across blockchains, underpins the ETF’s appeal, with daily fees from oracle usage reaching around $15,000 despite rising adoption.
Grayscale is preparing to launch its LINK ETF on NYSE Arca. Ahead of the launch, the fund accumulated a record reserve of LINK. Grayscale is preparing to transform its Chainlink Trust into a full ETF, soon launching on NYSE Arca. The product has already been tested, and Grayscale accumulated a record supply of LINK a few weeks ahead of the launch.
Grayscale Chainlink Trust ETF (Ticker: $GLNK) offers investors direct exposure to $LINK. $GLNK starts trading on NYSE Arca tomorrow. pic.twitter.com/9L31odpLPX
— Grayscale (@Grayscale) December 2, 2025
The Grayscale Chainlink Trust ETF (GLINK) is not registered under the Company Act of 1940, meaning the fund holds a higher risk. However, this has allowed GLNK to start trading immediately on NYSE Arca. The exchange recently welcomed multiple ETFs after a shorter listing procedure, boosting inflows into other assets like SOL.
Grayscale kept accumulating LINK in the past year, recently reaching near-record supply. | Source: Arkham IntelligenceGrayscale warned that an investment in GLNK is still potentially volatile. The fund is also not a direct investment in LINK.
Frequently Asked Questions
What Are the Risks of Investing in Grayscale’s Chainlink ETF?
Investing in the Grayscale Chainlink ETF (GLNK) involves significant risks due to its exemption from the 1940 Act, exposing shareholders to heightened volatility and potential liquidity issues. LINK’s price history shows sharp declines, and the ETF does not guarantee direct token ownership. Market experts recommend diversification and caution, as institutional inflows may not immediately stabilize the asset.
Why Is LINK Price Near Yearly Lows Despite the ETF Launch?
Even with the upcoming Grayscale Chainlink ETF launch, LINK trades at around $12.07, near its yearly low, due to subdued trading volumes and open interest at $235 million. Over the past three months, the token has slid amid broader altcoin pressures, failing to capitalize on Chainlink’s growing oracle usage despite partnerships and staking incentives. This creates an opportunity for ETF-driven recovery, but current sentiment remains cautious.
Key Takeaways
- Record LINK Accumulation: Grayscale holds 1.3 million LINK tokens, preparing for ETF liquidity needs on NYSE Arca.
- Supply Crunch on Exchanges: Spot exchanges hold just 8 million LINK, down significantly since October, potentially amplifying ETF demand effects.
- Market Challenges Persist: Despite Chainlink’s utility, LINK faces low fees, team selling pressure, and limited mindshare at 0.4% on social media—monitor for post-launch shifts.
LINK trades near yearly lows
LINK remains an actively traded legacy asset with multiple centralized listings. The token also allows for staking, with some of the supply locked. Currently, LINK has a total supply of 1B tokens, with 631M in circulation. LINK tokens are 59% unlocked, with only regular linear unlocks until the end of 2027.
Despite the imminent launch of the ETF, LINK remained near its yearly lows. LINK has been sliding for the past three months, down to $12.07. Despite the increased interest, LINK has failed to break new all-time highs or retain its levels above $50.
LINK trading volumes are also near one-year lows. LINK open interest also crashed to lows of $235M, showing the token hardly invites speculative interest. The asset also does not reflect the key roles of the Chainlink project, and has taken the path of legacy altcoins and tokens.
LINK supply on exchanges near all-time lows
LINK has been flowing out of exchanges for the past month, with supply near all-time lows on both spot and derivative exchanges. The recent buying from Grayscale coincides with a supply crunch on spot exchanges.
LINK supply on spot exchanges diminished significantly since October 13, but the market price has not responded to the supply crunch. | Source: CryptoquantSpot exchanges only hold around 8M LINK, while Grayscale holds 1.3M. The coming weeks will show if ETF demand changes the outlook for LINK, and if there is enough OTC supply or other sources of demand. For now, even the data of a spot exchange supply crunch has failed to lift LINK.
Despite the near-ubiquitous presence of Chainlink data and high-profile partnerships, the project produces only around $15K in fees daily. Oracle usage has been rising, but failed to boost demand for LINK.
LINK is still expected to make a comeback after a recent rise in mindshare by 30%. The token has 0.4% of mindshare on social media, as the Chainlink army’s pull does not hold up well against other projects and tickers. Additionally, LINK is still under pressure from team selling.
Also, there is no real wave to make LINK a reserve asset for treasury companies, with Chainlink Labs standing alone in that category.
Conclusion
The launch of the Grayscale Chainlink ETF marks a pivotal moment for institutional access to LINK, backed by record reserves and a strategic supply buildup amid exchange shortages. While LINK’s price lingers near lows due to low volumes and broader market dynamics, the ETF’s debut on NYSE Arca could catalyze renewed interest in Chainlink’s oracle ecosystem. Investors should weigh the heightened risks against potential upside from growing adoption—stay informed as post-launch performance unfolds in the evolving crypto landscape.
