Grayscale Stellar Lumens Trust (XLM) Reports Unregistered Sales

TL;DR

Grayscale Stellar Lumens Trust (XLM) filed an 8-K for unregistered equity sales on June 18.

AI Summary

On June 18, 2024, Grayscale Stellar Lumens Trust (XLM) filed an 8-K report detailing unregistered sales of equity securities. The filing, submitted on June 24, 2024, indicates a change in the company's reporting status related to these sales.

Why It Matters

This filing signals potential new share issuances or private placements by the Grayscale Stellar Lumens Trust, which could impact the trust's structure and the market for Stellar Lumens.

Risk Assessment

Risk Level: medium — Unregistered sales can sometimes indicate regulatory scrutiny or complex financial maneuvers that may carry inherent risks.

Key Numbers

• 000-56434 — SEC File Number (Identifies the specific SEC filing for the company.)
• 83-6545098 — IRS Employer Identification No. (Tax identification number for the trust.)

Key Players & Entities

• Grayscale Stellar Lumens Trust (XLM) (company) — Registrant
• June 18, 2024 (date) — Date of earliest event reported
• June 24, 2024 (date) — Date of filing
• 212 668-1427 (phone_number) — Registrant's Telephone Number

FAQ

Key Financial Figures

• $141,308 — e of 1,454,179.7588962 XLM representing $141,308. Grayscale Securities, LLC ("Grayscale

Filing Documents

• gxlm-20240618.htm (8-K) — 40KB
• 0000950170-24-076690.txt ( ) — 155KB
• gxlm-20240618.xsd (EX-101.SCH) — 28KB
• gxlm-20240618_htm.xml (XML) — 5KB

02. Unregistered Sales of Equity Securities

Item 3.02. Unregistered Sales of Equity Securities. Since the sales reported on the most recently filed Current Report on Form 8-K by Grayscale Stellar Lumens Trust (XLM) (the "Trust"), the Trust issued 16,700 Shares at varying prices determined by reference to its NAV per Share to selected "accredited investors," within the meaning of Rule 501 of Regulation D under the Securities Act of 1933, as amended (the "Securities Act"), in private placement transactions exempt from the registration requirements of the Securities Act pursuant to Rule 506(c) thereunder for an aggregate of 1,454,179.7588962 XLM representing $141,308. Grayscale Securities, LLC ("Grayscale Securities") acted as the Authorized Participant with respect to these distributions. As a result, there are 1,111,400 Shares issued and outstanding as of June 24, 2024. Because Shares have been, and continue to be, created and issued on a periodic basis, a "distribution," as such term is used in the Securities Act, may be occurring from time to time. As a result, Grayscale Securities, as Authorized Participant facilitating the creation of Shares and as distributor and marketer, may be deemed an "underwriter" under Section 2(a)(11) of the Securities Act. No underwriting discounts or commissions were paid to Grayscale Securities with respect to such sales.

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. Grayscale Investments, LLC as Sponsor of Grayscale Stellar Lumens Trust (XLM) Date: June 24, 2024 By: /s/ Edward McGee Edward McGee Chief Financial Officer * * The Registrant is a trust and the identified person signing this report is signing in their capacity as an authorized officer of Grayscale Investments, LLC, the Sponsor of the Registrant.

View Full Filing

View this 8-K filing on SEC EDGAR