Alameda Drops Lawsuit Against Grayscale

The dismissal follows Grayscale's conversion of its flagship GBTC fund into a spot ETF, leading to significant redemptions.

Alameda Research, the hedge fund associated with bankrupt FTX, has voluntarily dismissed its lawsuit against Grayscale Investments.
The lawsuit, filed last March, alleged that more than $9 billion in investor funds became trapped in Grayscale's Bitcoin Trust (GBTC), following the collapse of FTX.
The suit also alleged Grayscale had excessively high fees.
The dismissal came after Grayscale converted its flagship GBTC fund into a spot ETF, following a landmark Securities Exchange Commission (SEC) approval.
Following its conversion to an ETF, around $2.8 billion flew out of GBTC as of last week.