Grayscale Canton ETF Filed Primary

What the company does

Grayscale Canton ETF is a Delaware statutory trust that issues common units of fractional undivided beneficial interest representing ownership in the Trust. The Trust's purpose is to hold "CC" (Canton Coin), the native utility token of the Canton Network, a public Layer 1 blockchain network developed by Digital Asset Holdings, LLC that is designed to connect traditional financial systems while preserving transaction-level privacy. The Trust's investment objective is for the value of the Shares to reflect the value of CC held by the Trust, as determined by reference to the Index Price, less the Trust's expenses and other liabilities. Grayscale Investments Sponsors, LLC is the sponsor of the Trust.

Use of proceeds

Proceeds received by the Trust from the issuance and sale of Baskets will consist of CC deposited with the Trust in connection with creations. Such CC will only be (i) owned by the Trust, (ii) transferred (or converted to U.S. dollars, if necessary) to pay the Trust's expenses, (iii) distributed or otherwise disposed of in connection with the redemption of Baskets or (iv) liquidated in the event that the Trust terminates or as otherwise required by law or regulation.

Underwriters

The completed effective-prospectus read stated no underwriters.

Extracted from S-1 0002138284-26-000003, filed Jun 5, 2026 and verified against that filing text.

Key risk factors

• Extreme volatility of CC trading prices

  “the extreme volatility of trading prices that many digital assets, including CC, have experienced in recent periods and may continue to experience, which could cause the value of the Shares to be volatile and/or have a material adverse effect on the value of the Shares;”

• Canton Network is new with limited operating history

  “the fact that the Canton Network is a relatively new blockchain ecosystem with a limited operating history and that the development and adoption of the Canton Network remain subject to significant uncertainty;”

• Possible classification of CC as a security

  “a determination that CC or any other digital asset is or involves a transaction in a "security" may adversely affect the value of CC and the value of the Shares and result in potentially extraordinary, nonrecurring expenses to, or termination of, the Trust;”

• Lack of active trading markets for Shares

  “the lack of active trading markets for the Shares, which may result in losses on investors' investments at the time of disposition of Shares;”

• Concentration of ownership by a single shareholder

  “A single shareholder may acquire control over a majority of the Shares representing ownership in the Trust, which could limit the ability of other shareholders to exercise voting influence or otherwise adversely impact the value of the Shares.”

• Regulatory changes by Congress or federal agencies

  “regulatory changes or actions by the U.S. Congress or any U.S. federal or state agencies that may affect the value of the Shares or restrict the use of one or more digital assets, validating activity or the operation of their networks or the Digital Asset Trading Platform Market in a manner that adversely affects the value of the Shares;”

• Limited ability to facilitate in-kind creations and redemptions

  “the limited ability to facilitate in-kind creations and redemptions of Shares, which could have adverse consequences for the”

• Recent digital asset market disruption

  “recent developments in the digital asset economy which have led to extreme volatility and disruption in digital asset markets, a loss of confidence in participants of the digital asset ecosystem, significant negative publicity surrounding digital assets broadly and market-wide declines in liquidity;”