Grayscale Ethereum Classic Trust (ETC) Q3 2024 Update

TL;DR

ETC trust Q3 2024 10-Q filed. Holdings and financials detailed.

AI Summary

Grayscale Ethereum Classic Trust (ETC) filed its 10-Q for the period ending September 30, 2024. The filing details the trust's investments and financial performance, including its holdings in Ethereum Classic. The trust, formerly known as Ethereum Classic Investment Trust, is sponsored by Grayscale. Specific financial figures and fair value inputs are provided for the reporting period.

Why It Matters

This filing provides insight into the performance and holdings of the Grayscale Ethereum Classic Trust, a significant investment vehicle for Ethereum Classic.

Risk Assessment

Risk Level: medium — The trust's value is directly tied to the volatile cryptocurrency market, specifically Ethereum Classic.

Key Numbers

• N/A — Total Assets (Specific dollar amounts for assets under management are not explicitly stated in the provided text snippet.)
• N/A — Net Asset Value (NAV) (Specific dollar amounts for NAV are not explicitly stated in the provided text snippet.)
• N/A — Management Fees (Specific dollar amounts for management fees are not explicitly stated in the provided text snippet.)

Key Players & Entities

• Grayscale Ethereum Classic Trust (ETC) (company) — Filer
• Ethereum Classic (company) — Underlying Asset
• Grayscale (company) — Sponsor
• 2024-09-30 (date) — Reporting Period End Date
• 20241101 (date) — Filing Date

FAQ

Filing Documents

• etcg-20240930.htm (10-Q) — 902KB
• etcg-ex31_1.htm (EX-31.1) — 25KB
• etcg-ex31_2.htm (EX-31.2) — 24KB
• etcg-ex32_1.htm (EX-32.1) — 7KB
• etcg-ex32_2.htm (EX-32.2) — 7KB
• img27347552_0.jpg (GRAPHIC) — 463KB
• img27347552_1.jpg (GRAPHIC) — 344KB
• img27347552_2.jpg (GRAPHIC) — 287KB
• 0000950170-24-120128.txt ( ) — 5557KB
• etcg-20240930.xsd (EX-101.SCH) — 318KB
• etcg-20240930_htm.xml (XML) — 457KB

Forward-Looking Statements

Forward-Looking Statements 3 Industry and Market Data 3

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION Item 1.

Financial Statements (Unaudited)

Financial Statements (Unaudited) 4 4 Schedules of Investment at September 30, 2024 and December 31, 2023 5 6 7 Notes to the Unaudited Financial Statements 8 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 15 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 21 Item 4.

Controls and Procedures

Controls and Procedures 21

– OTHER INFORMATION

PART II – OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 22 Item 1A.

Risk Factors

Risk Factors 23 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 23 Item 3. Defaults Upon Senior Securities 23 Item 4. Mine Safety Disclosures 23 Item 5. Other Information 23 Item 6. Exhibits 24 GLOSSARY OF DEFINED TERMS 25

SIGNATURES

SIGNATURES 29 2 Forw ard-Looking Statements This Quarterly Report on Form 10-Q contains "forward-looking statements" with respect to the financial conditions, results of operations, plans, objectives, future performance and business of Grayscale Ethereum Classic Trust (ETC) (the "Trust"). Statements preceded by, followed by or that include words such as "may," "might," "will," "should," "expect," "plan," "anticipate," "believe," "estimate," "predict," "potential" or "continue," the negative of these terms and other similar expressions are intended to identify some of the forward-looking statements. All statements (other than statements of historical fact) included in this Quarterly Report that address activities, events or developments that will or may occur in the future, including such matters as changes in market prices and conditions, the Trust's operations, the plans of Grayscale Investments, LLC (the "Sponsor") and references to the Trust's future success and other similar matters are forward-looking statements. These statements are only predictions. Actual events or results may differ materially from such statements. These statements are based upon certain assumptions and analyses the Sponsor made based on its perception of historical trends, current conditions and expected future developments, as well as other factors appropriate in the circumstances. Whether or not actual results and developments will conform to the Sponsor's expectations and predictions, however, is subject to a number of risks and uncertainties, including, but not limited to, those described in "Part I, Item 1A. Risk Factors" of our Annual Report on Form 10-K and in "Part II, Item 1A. Risk Factors" herein. Forward-looking statements are made based on the Sponsor's beliefs, estimates and opinions on the date the statements are made and neither the Trust nor the Sponsor is under a duty or undertakes an obligation to update forward-looking statements if these beliefs, estimates and o

– FINANCI AL INFORMATION

PART I – FINANCI AL INFORMATION:

Financial St atements (Unaudited)

Item 1. Financial St atements (Unaudited) GRAYSCALE Ethereum Classic TRUST (ETC) ( Amounts in thousands, except Share and per Share amounts) September 30, 2024 December 31, 2023 Assets: Investment in ETC, at fair value (cost $ 85,592 and $ 87,209 as of September 30, 2024 and December 31, 2023, respectively) $ 222,952 $ 253,958 Total assets $ 222,952 $ 253,958 Liabilities: Sponsor's Fee payable, related party $ - $ - Total liabilities - - Net assets $ 222,952 $ 253,958 Shares issued and outstanding, no par value (unlimited Shares authorized) 13,993,800 13,993,800 Principal market net asset value per Share $ 15.93 $ 18.15 See accompanying notes to the unaudited financial statements. 4 GRAYSCALE Ethereum Classic TRUST (ETC) SCHEDULES OF INVESTMENT (UNAUDITED) ( Amounts in thousands, except quantity of ETC and percentages) September 30, 2024 Quantity of ETC Cost Fair Value % of Net Assets Investment in ETC 11,334,633.90876161 $ 85,592 $ 222,952 100 % Net assets $ 85,592 $ 222,952 100 % December 31, 2023 Quantity of ETC Cost Fair Value % of Net Assets Investment in ETC 11,548,776.17230000 $ 87,209 $ 253,958 100 % Net assets $ 87,209 $ 253,958 100 % See accompanying notes to the unaudited financial statements. 5 GRAYSCALE Ethereum Classic TRUST (ETC) ( Amounts in thousands) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Investment income: Investment income $ - $ - $ - $ - Expenses: Sponsor's Fee, related party 1,435 1,252 5,399 4,128 Net investment loss ( 1,435 ) ( 1,252 ) ( 5,399 ) ( 4,128 ) Net realized and unrealized (loss) gain from: Net realized gain on investment in ETC 896 698 3,782 2,472 Net ch

View Full Filing

View this 10-Q filing on SEC EDGAR