Coalition Forms to Challenge Grayscale’s Management Fees

This partnership intends to increase the impact of the litigation by inviting other shareholders to join as co-plaintiffs through the newly established GrayscaleLitigation.com platform.

This group endeavor is a response to Alameda’s initial lawsuit filed in March of this year, which demanded a reduction in management fees and the introduction of redemptions for Grayscale’s Bitcoin and Ethereum Trusts.

Existing shareholders who collectively own at least 10% of the Trusts’ shares are encouraged to join as co-plaintiffs before September 1, 2023, via GrayscaleLitigation.com so that this initiative can move forward.

Balch & Bingham LLP has offered to represent shareholders who qualify in this legal dispute at no cost.

The assistance for Alameda’s legal endeavors has been substantial. Fir Tree Partners, Saba Capital, Owl Creek Asset Management, and Aristides Capital are examples of notable entities interested in joining the lawsuit.

This coalition of shareholders highlights the desire for equitable management fees and transparent redemption procedures.

Despite Grayscale’s argument that shareholder participation must reach 10% collectively, Alameda, UTXO, and Balch & Bingham LLP’s collaboration demonstrate the resolve to surmount this obstacle.

Alameda Research continues to solicit additional plaintiffs for this crucial litigation.

Over 45 other plaintiffs, including individuals, foundations, and family offices, have expressed interest in joining the lawsuit.

While these entities remain unnamed, Alameda is resolved to expand their ranks by September 15, the deadline for responding to Grayscale’s dismissal motion.