Benzinga | Oct 12, 2020 11:15PM EDT

ETH Cryptocurrency Surges 2.7% As Grayscale Ethereum Trust Becomes SEC Reporting Company

Grayscale Investments announced Monday that its Grayscale Ethereum Trust (OTC:ETHE) now operates as a United States Securities and Exchange Commission reporting company.

What Happened: The trust, solely invested in Ethereum, will now begin to disclose the amounts of money flowing through it.

"The Trust will now file its quarterly and annual reports, including its financial statements, on Form 10-Qs and 10-Ks with the SEC, along with current reports on Form 8-K, in addition to complying with all other obligations under the Exchange Act," Grayscale said in a statement.

Why It Matters: The New York-based company said that accredited Investors who purchase shares in the trust can now sell them after a mandatory six-month holding period instead of the previous 12-month lock-in period.

The Grayscale Bitcoin Trust (OTC:GBTC) became an SEC reporting company in January this year.

In July, Grayscale had announced that the Grayscale Bitcoin Cash Trust (OTC:BCHG) and Grayscale Litecoin Trust (OTC:LTCN) had been approved for public listing by the Financial Industry Regulatory Authority on the OTC markets.

Price Action: Ethereum (ETH) traded 2.69% higher at $385.10 at press time. Bitcoin (BTC) traded 0.7% higher at $11,461.10.

The Grayscale Ethereum Trust's shares closed 3.77% higher at $56.24 on Monday.