Grayscale Security and Transparency (Patreon)

Many are concerned re Grayscale, GBTC ETHE etc but to be honest this was recently shared and gives me some comfort.  Two small items bug me in this heightened state of distrust but it may be nothing.  It appears perhaps my Tweet yesterday could have helped push them to publish this transparency report - my Tweet by the way got a qtr of a million impressions yesterday! 

THE 2 SMALL ISSUES

ITEM #1 They had E&Y as auditors in 2015, then moved to Friedman LLP and Friedman just changed their name to Marcum - The previously announced merger of Marcum LLP (“Marcum”) and Friedman LLP (“Friedman”).  Prob nothing.

ITEM #2 Also the SEC Filings are #UNAUDITED.

But net net seems legit.  Terms of service also.

Thanks Sanjay for sharing. LINK HERE Grayscale Security and Transparency

https://grayscale.com/safety-security-and-transparency/ 

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Due to recent events, investors are understandably inquiring deeper into their crypto investments. Custody of the digital assets underlying Grayscale’s digital asset products is unaffected, and our products’ digital assets remain safe and secure. We take transparency seriously, and have a long history of working constructively with regulators to create and strengthen full and fair risk disclosures for our digital asset products. In that spirit, we affirm the following, as of November 18, 2022:

• The holdings of Grayscale’s digital asset products are safe and secure. Balances are reflected in historical public filings and have been evaluated by our third-party auditors.
• Each of Grayscale’s digital asset products is set up as a separate legal entity: a statutory trust for single asset products, and limited liability company for diversified products.
• All digital assets that underlie Grayscale’s digital asset products are held by Coinbase Custody Trust Company, LLC (Coinbase Custody) as custodian for each product. A letter that verifies the number of digital assets held by Coinbase Custody for each of Grayscale’s digital asset products can be found below.
• The organizational documents governing each of Grayscale’s digital asset products, as well as the custodian agreement with Coinbase Custody, prohibit the digital assets underlying the products from being lent, borrowed, or otherwise encumbered.