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Bitcoinist 2025-01-18 19:00:07

Crypto ETFs Frenzy In 2025? Asset Managers Send An Array Of New Funds To SEC

At the end of 2024, the cryptocurrency industry was projected to undergo a complete transition, especially in relation to traditional finance. And with the imminent inauguration of crypto-friendly Donald Trump , the US regulatory landscape is expected to become a tad more favorable for the industry. Interestingly, asset managers are not waiting till power changes hands before taking advantage of the shift, as they sent in a flurry of applications for crypto-related exchange-traded funds (ETFs) this week. Here’s an overview of the latest ETF applications related to digital assets. Crypto ETFs Take Center Stage On Friday, January 17, various asset management firms filed applications for at least half a dozen crypto exchange-traded funds with the United States Securities and Exchange Commission (SEC). Most notably, asset manager ProShares applied for leveraged & inverse XRP and Solana ETFs. For context, a leveraged exchange-traded fund is designed to amplify the performance of its underlying asset (XRP, in this case). Meanwhile, an inverse ETF offers exposure to the opposite performance of an asset. ProShares also filed for XRP and Solana futures exchange-traded funds with the SEC. These investment products offer investors exposure to XRP’s and Solana’s price movements through futures contracts (agreements to buy or sell an asset at a predetermined price in the future). According to Nate Geraci, Valkyrie also applied for CoinShares Digital Asset ETF, which would provide exposure to the 10 largest digital assets by market capitalization. Meanwhile, investment firm Tidal submitted a filing for Oasis Capital Digital Asset Debt Strategy ETF, which would invest in the debt of companies involved in digital asset-related activities. This latest flurry of ETF filings comes on the back of applications from Canary Capital and VanEck. On Thursday, January 16, Canary submitted an amended S-1 form for the Litecoin ETF. Meanwhile, asset manager Van Eck had also earlier filed for an “Onchain Economy” exchange-traded fund on Wednesday, January 15. According to the filing, the ETF will invest in companies across the crypto industry. 2025 Taking Shape? 2025 was always expected to usher in a wave of new crypto-related exchange-traded funds, and it has kicked just as anticipated. With SEC chairman Gary Gensler expected to leave office on January 20, the more crypto-friendly Paul Atkins has been nominated to take over. The former SEC Commissioner who served under President George W. Bush has built a reputation for advocating less stringent regulations on financial markets. These incoming shifts in the regulatory landscape are anticipated to set the stage for more institutional adoption in 2025 .

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