Osprey Sues Grayscale for Misleading Advertising on Crypto Trust

Digital-asset manager Osprey Funds is the latest firm to file a lawsuit against rival Grayscale Investments over its nearly $15 billion Bitcoin fund.

Osprey accused Grayscale of conducting “false and misleading advertising” for the Grayscale Bitcoin Trust (ticker GBTC) since late 2020, according to a complaint filed Monday in Connecticut Superior Court. Grayscale presented that GBTC would be converted into an exchange-traded fund as “foregone conclusion, when it knew that access was never likely to happen,” the suit read. US regulators denied Grayscale’s application for ETF conversion in June, prompting the firm to sue the Securities and Exchange Commission. ...