Hashdex Submits Application for Combined Ethereum and Bitcoin ETF to SEC
In a groundbreaking move in the cryptocurrency industry, asset manager Hashdex has submitted an application to the US Securities and Exchange Commission (SEC) for a combined spot Ethereum and Bitcoin ETF. This development marks a significant step towards expanding the accessibility of crypto investments for investors.
Bloomberg ETF expert James Seyffart highlighted that Hashdex’s proposed ETF would be market cap-weighted and could potentially include additional digital assets as they gain approval from the SEC. Hashdex, known for its successful crypto index ETF in Brazil, sees introducing a similar offering to the US market as a logical progression.
The filing with the SEC reveals that Hashdex plans to utilize the services of two custodians, Coinbase and BitGo, to ensure the secure storage of the underlying assets. While spot Ethereum ETFs in the US are still awaiting full approval from the SEC, Bloomberg analyst Eric Balchunas has suggested a potential launch date of July 2nd based on feedback received from issuers.
Hashdex’s decision to launch a joint Ethereum and Bitcoin ETF aligns with their belief that as cryptocurrencies gain mainstream acceptance, new assets will emerge to challenge the market dominance of Bitcoin and Ethereum. The asset manager aims to provide investors with exposure to the growth potential of alternative digital assets through a diverse basket of crypto assets.
The success of crypto index ETFs in Brazil underscores the benefits of diversification and regulated ETF structures. Hashdex anticipates this trend to expand to Europe and eventually the US, driven by evolving regulations and increasing demand from professional investors and wealth managers.
Crypto indices offer several advantages for investors, including risk mitigation, transparency, standardization, and a time-tested methodology. Hashdex’s filing for a joint Ethereum and Bitcoin ETF represents a pivotal moment in expanding the accessibility of crypto investments, setting the stage for a brighter future for investors seeking exposure to the digital asset space.
As of the latest update, Bitcoin, the largest cryptocurrency in the market, continues its downward trend, falling 3.3% in 24 hours to a current trading price of $64,600. This development comes amidst the growing interest and adoption of diversified crypto index strategies, signaling a positive outlook for investors in the digital asset space.