Grayscale files for first US Worldcoin ETF
Grayscale’s filing for the first US exchange-traded fund tied to Worldcoin tests the boundaries of existing commodity-trust regulations while signaling growing institutional interest in Sam Altman’s biometric crypto project.
Grayscale submitted an S-1 registration statement to the Securities and Exchange Commission on Monday for a passive ETF that would hold Worldcoin’s native token, WLD. The proposed fund, slated to trade on Nasdaq under the ticker GWLD, would track the CoinDesk Worldcoin Benchmark Rate. BitGo Bank & Trust would serve as the token custodian, with the Bank of New York Mellon acting as transfer agent and administrator.
WLD prices climbed roughly 8% over the following 24 hours to reach an intraday peak of $0.387, according to CoinGecko. The rally partially offset a turbulent week that left the token down 5.5% over a seven-day period. At roughly $1.4 billion, WLD is currently the 55th-largest cryptocurrency by market capitalization.
The filing relies on Nasdaq’s generic listing standards for commodity-based trusts rather than seeking a novel regulatory approval. This structural choice means the fund could launch without the SEC crafting a new framework, provided WLD meets the exchange's baseline eligibility criteria. The registration must still take effect before trading can begin.
Worldcoin, rebranded to "World" last year, is a biometric identity project co-founded by OpenAI CEO Sam Altman. The venture uses a hardware device called the Orb to scan users' irises, issuing a unique World ID to distinguish humans from artificial intelligence bots. However, these data collection practices have triggered ongoing regulatory investigations across the European Union, Brazil, and Kenya.
Bringing a scrutinized asset like WLD into a regulated ETF wrapper represents a notable test for both the SEC and Nasdaq. While the commodity-trust pathway bypasses the need for a specific rule change, the token's regulatory baggage overseas could still complicate the registration process.
The Worldcoin filing fits into Grayscale’s broader strategy of expanding its crypto ETF suite following its landmark court victory over the SEC regarding Bitcoin. The asset manager has recently filed for or rolled out products tracking major altcoins including Solana, XRP, Litecoin, Chainlink, and Dogecoin.
Institutional adoption of Worldcoin has been deliberate. Nasdaq-listed Eightco established the first corporate treasury centered around WLD last year, assembling one of the largest publicly disclosed holdings of the cryptocurrency. If the Grayscale fund clears regulatory hurdles, it would give retail investors their first direct avenue to hold Worldcoin through a standard US brokerage account.
