8-K: Grayscale Litecoin Trust Amends Trust Agreement to Align Business Day Definition with Securities Exchange Closures
Trust Agreement Amendment
Grayscale Litecoin Trust has amended its trust agreement to redefine 'Business Day' to align with closures of national securities exchanges rather than bank closures.
Summary
- Grayscale Litecoin Trust (LTC) has modified its Trust Agreement by entering into Amendment No. 3.
- The key change is the definition of 'Business Day', which now aligns with the closure of national securities exchanges in New York, rather than bank closures.
- This amendment was made by Grayscale Investments, LLC, the sponsor, and Delaware Trust Company, the trustee, effective March 22, 2024.
- The amendment clarifies the rights of shareholders and ensures the Trust's operations are consistent with securities market schedules.
Sentiment
Score: 7
Explanation: The document reflects a routine operational update, which is generally neutral to positive. The change is expected and provides clarity.
Positives
- The amendment provides clarity on the definition of 'Business Day' for the Trust.
- Aligning the definition with securities exchange closures ensures consistency with market operations.
- The change is effective immediately, providing immediate clarity for shareholders.
Management Comments
- Michael Sonnenshein, CEO of Grayscale Investments, signed the amendment on behalf of the sponsor.
Industry Context
This amendment reflects a move towards standardizing operational definitions within cryptocurrency investment trusts, aligning them with traditional financial market practices.
Comparison to Industry Standards
- Many cryptocurrency trusts and ETFs are aligning their operational definitions with traditional market practices.
- This change is similar to other trusts that have moved to align their business day definitions with securities exchange closures rather than bank closures.
- This ensures consistency and clarity for investors and market participants.
Stakeholder Impact
- Shareholders will benefit from the clarity provided by the new definition of 'Business Day'.
- The change ensures the Trust's operations are consistent with securities market schedules.
Key Dates
| Date | Description |
|---|---|
| March 1, 2018 | Date of the original Amended and Restated Declaration of Trust and Trust Agreement. |
| January 11, 2019 | Date of Amendment No. 1 to the Trust Agreement. |
| September 21, 2021 | Date of Amendment No. 2 to the Trust Agreement. |
| March 22, 2024 | Date of Amendment No. 3 to the Trust Agreement and effective date of the change. |
| March 25, 2024 | Date the 8-K report was signed. |
Keywords
Grayscale Litecoin Trust, Trust Agreement, Amendment, Business Day, Securities Exchange, Delaware Trust Company, Grayscale Investments, LTCN, Cryptocurrency
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