Legal Proceedings
+Added: The Sponsor or former Co-Sponsor of the Trust until May 3, 2025 , as applicable, was a party to certain legal proceedings during the period covered by this report.
On January 30, 2023, Osprey Funds, LLC (“Osprey”) filed a suit in Connecticut Superior Court against the Sponsor alleging that sta tements the Sponsor made in its advertising and promotion of the Trust violated the Connecticut Unfair Trade Practices Act (“CUTPA”) , and seeking statutory damages and injunctive relief.
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On March 31, 2025, Osprey filed a notice of appeal of the summary judgment decision and the Court’s denial of the motion for reargument to the Connecticut Appellate Court.
−Removed: The Sponsor and the Trust believe that judgment was properly granted in their favor and intend to vigorously defend against any attempts to overturn the judgment.
+Added: On May 12, 2025, Osprey withdrew the action and the appeal.
+Added: On May 19, 2025, Genesis Global Capital, LLC (“Genesis Capital”) and Genesis Asia Pacific Pte.
+Added: (“Genesis Asia”) filed a complaint in the United States Bankruptcy Court for the Southern District of New York (“SDNY Bankruptcy Court”) against Digital Currency Group, Inc.
+Added: (“DCG”) and certain of its affiliates including GSO alleging that Genesis Capital made certain preferential transfers to GSI, the predecessor in interest to GSO prior to the Merger, during the preference period prior to Genesis Capital’s filing of a bankruptcy petition in SDNY Bankruptcy Court while GSI was allegedly an insider to Genesis Capital pursuant to 11 U.S.C.
+Added: Genesis Capital seeks to avoid the alleged preferential transfers pursuant to 11 U.S.C.
+Added: § 547(b), as well as recovery of property and disallowance of claims.
+Added: GSO believes this lawsuit is without merit and intends to vigorously defend against it.
As of the date of this Quarterly Report, the Sponsor does not expect the foregoing proceedings to have a material adverse effect on the Trust’s business, financial condition or results of operations.
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Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.