• Grayscale gains approval to launch the first spot Chainlink ETF on NYSE Arca.
• GLNK ETF includes staking, drawing SEC attention over yield and regulatory concerns.
• Chainlink adoption grows as institutions use LINK for tokenization and cross-chain systems.

Grayscale has secured regulatory approval to move ahead with the first spot Chainlink ETF. The clearance comes during a period of rising interest in LINK across the market. It also marks the company’s third fund launch in only two weeks. The approval reinforces Grayscale’s rapid expansion into digital-asset products and strengthens its position in the evolving ETF landscape.

The company will transform its existing Chainlink Trust into a fully tradable ETF. Nate Geraci, an ETF analyst, announced the update on X, indicating that regulators had given the approval to uplist. The new structure will enable the fund to trade on NYSE Arca. The regulated exposure to LINK will be offered to investors in a familiar exchange-traded format.

Grayscale Advances After S-1 Filing With GLNK Staking ETF

Grayscale received approval following the submission of its S-1 registration filing in late September. That filing formalized the proposal to move the trust into an ETF. Grayscale now has permission and moves at a rapid pace of launching. The company also recently launched similar ETFs based on XRP and Dogecoin, giving it a wide selection within a relatively short duration.

The future product will be traded by the ticker GLNK. The outstanding characteristic of the ETF is that it contains a staking option. This functionality resembles the original network utility of LINK. It has, however, attracted regulatory concerns as well. According to the analysts, the SEC continues to grapple with unexplained questions regarding yield processes and staking mechanics in the digital-asset funds.

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Bitwise has a competing product named CLNK. In contrast to the version of Grayscale, CLNK does not have staking. The design does not require the regulatory uncertainty associated with yield-bearing features. The product offered by Bitwise has already been listed on the DTCC registry. Expectations have changed with the approval of Grayscale, as Bitwise would launch a Chainlink ETF first.

Chainlink’s Expanding Utility Drives Institutional Interest

The growing impact of Chainlink on institutional systems contributes to the launch. Grayscale researchers Michael Zhao and Zach Pandl, in a report entitled The Link Between Worlds, emphasized LINK as one of the top players in the Utilities and Services industry. They highlighted its role in cross-chain data applications and tokenization.

The interest of LINK has been growing. CaliberCos was one of the first US public companies to have LINK in its treasury in August. The company implemented the policy of long-term LINK investment and network staking rewards.

Chainlink technology has also emerged in international pilots. In June, Hong Kong seamlessly transferred tokenized values between Hong Kong and Australia using the Cross-Chain Interoperability Protocol (CCIP). World Liberty Financial later reused CCIP in helping with the multi-chain expansion of the USD1 stablecoin.

The Chainlink ETF authorized by the regulatory bodies will bring Grayscale a step further to launch its ETF and indicate an increase in the use of LINK in institutional blockchain applications.

Also Read: How Chainlink Is Driving Web3 and Institutional Finance in 2025: Sergey Nazarov