Crypto ETF Filings Surge Ahead of Expected SEC Leadership Change
Pre-election crypto ETF filings expanded beyond bitcoin and ether to include assets like Solana and XRP, as fund firms anticipated a Trump victory and subsequent changes in SEC leadership.
Following the election outcome, Trump’s win has increased optimism among ETF issuers regarding potential approvals for various fund types.
Market participants are closely monitoring new filings. ETF Store president Nate Geraci predicted multiple spot crypto ETF filings that could include XRP, Solana, and Cardano:
Recent filings include Canary Capital's proposed ETF holding HBAR, the native asset of the Hedera Network, following its previous XRP- and Litecoin-focused filings.
Bitwise has announced plans to convert its crypto index fund into an ETF, pending SEC approval, which would allow it to trade on NYSE Arca. This follows NYSE Arca's earlier request to enable Grayscale’s Digital Large Cap Fund trading. Hashdex also proposed an ETF that would hold both BTC and ETH.
The Bitwise 10 Crypto Index Fund includes holdings such as Solana, XRP, Cardano, Avalanche, Bitcoin Cash, Chainlink, Uniswap, and Polkadot.
Given the impending administration change, issuers are likely to pursue new US crypto launches; however, SEC rulings may take time, and the future SEC Chair remains uncertain.
ETF.com senior analyst Sumit Roy highlighted the significance of the Bitwise/NYSE Arca filing as a major test of the new administration’s stance on crypto ETFs. He noted that an approval would indicate a more permissive approach to crypto, while a rejection might dampen enthusiasm among crypto investors.