Grayscale Ethereum Trust (ETH) Q3 2024 10-Q Filed

TL;DR

**Grayscale ETH Trust Q3 2024 10-Q is in! Check financials and Ethereum holdings.**

AI Summary

Grayscale Ethereum Trust (ETH) filed its 10-Q for the period ending September 30, 2024. The filing details the trust's financial position and operational activities related to its holdings of Ethereum. Specific financial figures and performance metrics for the third quarter of 2024 are presented, alongside disclosures about fair value inputs and any subsequent events.

Why It Matters

This filing provides crucial insights into the financial health and asset management of the Grayscale Ethereum Trust, impacting investors' understanding of their Ethereum holdings.

Risk Assessment

Risk Level: medium — The value of the trust is directly tied to the volatile price of Ethereum, and regulatory changes in the cryptocurrency space pose significant risks.

Key Numbers

• 2024-09-30 — Reporting Period End Date (Indicates the specific date for which financial information is reported.)
• 2024-11-01 — Filing Date (The date the 10-Q was officially submitted to the SEC.)

Key Players & Entities

• Grayscale Ethereum Trust (ETH) (company) — Filer of the 10-Q
• 2024-09-30 (date) — End of the reporting period
• 2024-11-01 (date) — Date of filing
• Digital Currency Group Inc. (company) — Related entity

FAQ

Filing Documents

• ethe-20240930.htm (10-Q) — 1161KB
• ethe-ex31_1.htm (EX-31.1) — 22KB
• ethe-ex31_2.htm (EX-31.2) — 21KB
• ethe-ex32_1.htm (EX-32.1) — 7KB
• ethe-ex32_2.htm (EX-32.2) — 7KB
• img25552359_0.jpg (GRAPHIC) — 336KB
• img25552359_1.jpg (GRAPHIC) — 319KB
• img25552359_2.jpg (GRAPHIC) — 195KB
• img25552359_3.jpg (GRAPHIC) — 235KB
• img25552359_4.jpg (GRAPHIC) — 173KB
• 0000950170-24-120130.txt ( ) — 6883KB
• ethe-20240930.xsd (EX-101.SCH) — 441KB
• ethe-20240930_htm.xml (XML) — 708KB

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 8 Notes to the Unaudited Financial Statements 9 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 19 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 28 Item 4.

Controls and Procedures

Controls and Procedures 28

– OTHER INFORMATION

PART II – OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 29 Item 1A.

Risk Factors

Risk Factors 29 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 29 Item 3. Defaults Upon Senior Securities 30 Item 4. Mine Safety Disclosures 30 Item 5. Other Information 30 Item 6. Exhibits 30 GLOSSARY OF DEFINED TERMS 31

SIGNATURES

SIGNATURES 36 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 Trust (ETH) (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 opinions

– FINANCI AL INFORMATION

PART I – FINANCI AL INFORMATION:

Financial St atements (Unaudited)

Item 1. Financial St atements (Unaudited) GRAYSCALE ETHEREUM TRUST (ETH) ( Amounts in thousands, except Share and per Share amounts) September 30, 2024 December 31, 2023 Assets: Investment in Ether, at fair value (cost $ 701,167 and $ 1,244,746 as of September 30, 2024 and December 31, 2023, respectively) $ 4,329,796 $ 6,758,054 Total assets $ 4,329,796 $ 6,758,054 Liabilities: Sponsor's Fee payable, related party $ - $ - Total liabilities - - Net assets $ 4,329,796 $ 6,758,054 Shares issued and outstanding, no par value (unlimited Shares authorized) 197,798,500 310,158,500 Principal market net asset value per Share $ 21.89 $ 21.79 See accompanying notes to the unaudited financial statements. 4 GRAYSCALE ETHEREUM TRUST (ETH) SCHEDULES OF INVESTMENT (UNAUDITED) ( Amounts in thousands, except quantity of Ether and percentages) September 30, 2024 Quantity of Ether Cost Fair Value % of Net Assets Investment in Ether 1,668,881.33227926 $ 701,167 $ 4,329,796 100 % Total Investment $ 701,167 $ 4,329,796 100 % Net assets $ 701,167 $ 4,329,796 100 % December 31, 2023 Quantity of Ether Cost Fair Value % of Net Assets Investment in Ether 2,962,629.50149940 $ 1,244,746 $ 6,758,054 100 % Net assets $ 1,244,746 $ 6,758,054 100 % See accompanying notes to the unaudited financial statements. 5 GRAYSCALE ETHEREUM TRUST (ETH) ( 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 38,003 33,146 152,936 97,663 Net investment loss ( 38,003 ) ( 33,146 ) ( 152,936 ) ( 97,663 ) Net realized and unrealized (loss)

View Full Filing

View this 10-Q filing on SEC EDGAR