Legal Proceedings
−Removed: The Manager and an affiliate of the Fund, Grayscale Bitcoin Trust (BTC) (“Grayscale Bitcoin Trust”), are currently parties to certain legal proceedings.
+Added: The Manager or former Co-Manager of the Fund until May 3, 2025, as applicable, was a party to certain legal proceedings during the period covered by this report.
Although the Fund is not a party to these proceedings, the Fund may in the future be subject to legal proceedings or disputes.
−Removed: On January 30, 2023, Osprey Funds, LLC (“Osprey”) filed a suit in Connecticut Superior Court against the Manager alleging that statements the Manager made in its advertising and promotion of Grayscale Bitcoin Trust violated the Connecticut Unfair Trade Practices Act, and seeking statutory damages and injunctive relief.
+Added: On January 30, 2023, Osprey Funds, LLC (“Osprey”) filed a suit in Connecticut Superior Court against the Manager alleging that statements the Manager made in its advertising and promotion of Grayscale Bitcoin Trust ETF violated the Connecticut Unfair Trade Practices Act (“CUTPA”), and seeking statutory damages and injunctive relief.
On April 17, 2023, the Manager filed a motion to dismiss the complaint and, following briefing, a hearing on the motion to dismiss was held on June 26, 2023.
−Removed: On October 23, 2023, the Court denied
−Removed: the Manager’s motion to dismiss.
+Added: On October 23, 2023, the Court denied the Manager’s motion to dismiss.
On November 6, 2023, the Manager filed a motion for reargument of the Court’s order denying the Manager’s motion to dismiss.
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On August 30, 2024, Osprey filed an opposition to the Manager’s motion to strike the amended complaint.
−Removed: The Manager and Grayscale Bitcoin Trust believe this lawsuit is without merit and intend to vigorously defend against it.
+Added: On October 11, 2024, the Court denied the Manager’s motion to strike.
+Added: On November 22, 2024, the Manager filed a motion for summary judgment on the grounds that CUTPA does not apply to practices undertaken in connection with the purchase and sale of securities, and the Court granted the Manager’s motion for summary judgment on February 7, 2025.
+Added: On February 10, 2025, Osprey filed a motion for reargument, and the Court denied Osprey’s motion for reargument on March 19, 2025.
+Added: 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.
+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 Annual Report, the Manager does not expect the foregoing proceedings to have a material adverse effect on the Fund’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.