Grayscale is set to begin trading its Sui-based staking exchange-traded product under the ticker GSUI. The product provides indirect exposure to SUI’s price while also offering potential returns generated from staking rewards.
Unlike traditional spot ETFs, the product is structured as an ETP and is not registered under the Investment Company Act of 1940. This means it does not carry the same regulatory protections as conventional mutual funds or 40 Act ETFs, an important distinction for investors.
The company emphasized the high volatility of the investment and warned that investors could lose their entire principal. As the structure does not represent direct token ownership, it offers an alternative pathway for those seeking staking exposure through regulated market instruments, potentially enhancing Sui’s institutional visibility.
