The ETF market is going through a mixed quarter, with products struggling to maintain their growth. ChainLink illustrates this situation with a fund whose value depends directly on a single asset. Launched on NYSE Arca in December 2025, Grayscale’s product had started with solid entries. Since then, the decline in LINK has reduced its net asset value and dampened its net assets. The latest quarterly report thus confirms a marked slowdown, without signaling a massive withdrawal of investors.
In brief
- The ChainLink ETF at Grayscale has $72.2 million in net assets.
- LINK fell 18% in the second quarter.
- GLNK has an unrealized loss of approximately $16.4 million.
- The fund’s assets remain almost stable despite the new capital inflows.
- Grayscale charges an annual fee of 0.35% on the ETF.
A difficult second quarter for ChainLink
Grayscale filed a Form 10-Q with the U.S. Securities and Exchange Commission (SEC) on August 7. The document concerns the Chainlink Trust, which became an ETF under the symbol GLNK in December 2025.
As of June 30, the fund’s net assets reached $72.2 million. This level remains close to the $73 million recorded in April, despite the capital inflows observed previously. THE report above all shows the effect of the drop in price on the overall value of the product. At the end of the second quarter, the token was worth $7.25, compared to $8.77 in the previous quarter. quarterly filing in May. The decline thus reached 18% in three months, according to figures communicated by Grayscale.
This drop brought the fund’s net asset value per share to $6.38. Grayscale also estimates an unrealized loss of approximately $16.4 million on its LINK stake. Yet the number of tokens held has remained stable during this period.
The decline in LINK limits the fund’s progress
The functioning of GLNK directly explains this evolution, because the product is based on a single asset. It therefore does not have any diversification capable of mitigating a drop in LINK. When the price falls, the value of the assets held by the fund mechanically decreases.
This relationship becomes particularly visible when new entries are no longer sufficient to compensate for the decline in the market. The second quarter shows precisely this situation, with net assets almost unchanged despite the capital already provided.
The ChainLink network provides external data and price information to smart contracts on Ethereum and other blockchains. ChainLink has experienced volatile evolution since the launch of GLNK in the American market.
In this context, the market for altcoins linked to on-chain infrastructures is also going through a difficult period. The drop in the price of LINK directly weighed on the value of the fund, while the number of tokens held remained stable over the quarter.
Strong start before a sharp slowdown
The launch of the fund had, however, shown rapid results according to the report’s data. GLNK had attracted $41 million in inflows on its first day of trading. Its assets under management then reached approximately $64 million in less than 48 hours. By April, this amount had risen to around $73 million, confirming an initial increase. These figures had fueled significantly higher projections for the rest of the year.
Some estimates then suggested between $150 and $300 million in assets by mid-2026. In a more favorable scenario, these projections could reach $400 to $600 million. The second quarter report shows that this trajectory has not been realized. Net assets remain at $72.2 million, far from the most conservative growth scenario. ChainLink maintains institutional exposure through GLNK, but the fund’s pace of growth has paused.
The document also provides an important element on investor flows. The stability in the number of tokens held indicates that the slowdown is not coming from mass withdrawals. New capital inflows were impacted by the decline in the token. The current level of assets therefore mainly reflects the market effect observed during the quarter.
Reduced costs for a structure always exposed
Grayscale maintains an annual fee of 0.35% on GLNK assets. This rate corresponds to that set during the conversion of the trust into an ETF in December 2025. Before this transformation, the private structure charged 2.5% to accredited investors. Grayscale had also temporarily waived part of the fees until early March 2026. This measure aimed to support the transition to the new listed structure.
For the six months ended June 30, developer fees totaled about $136,000. This amount corresponds to the announced annual rate, calculated on the average net assets of the fund. It remains weak compared to the unrealized loss of $16.4 million recorded during the quarter. However, these figures show the particular functioning of a crypto ETF concentrated on a single asset. The structure reduces fees, but maintains direct exposure to variations in the token.
The ChainLink product thus remains represented on the listed market by a product whose performance depends closely on the LINK. This development remains linked to the same parameters observed since the start of the year.
The next evolution of net assets will therefore depend on the combination of new entries and price movements. If the token remains under pressure, the fund’s growth could continue to progress more slowly. Conversely, a market recovery could quickly change the value of assets held. The next quarterly report will above all allow us to measure whether GLNK regains growth momentum or remains close to its current level.
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