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CoinTelegraph 2025-03-14 21:37:42

VanEck files for AVAX ETF

Global investment manager VanEck has filed for an Avalanche ( AVAX ) exchange-traded fund (ETF) with the US Securities and Exchange Commission (SEC) seeking to offer investors direct exposure to the smart contract platform. A snippet of the S-1 filing was shared on social media on March 14 by Bloomberg analyst James Seyffart, who has been closely monitoring developments in the crypto ETF industry. Source: James Seyffart The proposed VanEck Avalanche ETF intends to “reflect the performance of the price of “AVAX,” the native token of the Avalanche network, less the expenses of the Trust’s operations,” the prospectus read. The proposed fund will hold AVAX and will “value its Shares daily based on the reported MarketVector Avalanche Benchmark Rate,” the prospectus said. As Seyffart noted in a follow-up post, the Trust’s registration “was shared widely earlier this week, But this is the first actual filing with the SEC.” Avalanche is the 16th largest crypto asset, with a total market capitalization of $7.7 billion. The blockchain is notable for its high throughput and Ethereum Virtual Machine (EVM) compatibility. Related: US Bitcoin ETFs break outflow streak with $13.3M inflow ETF race heats up The overwhelming success of the US spot Bitcoin ( BTC ) exchange-traded funds and the election of a pro-crypto administration in Washington have triggered an influx of crypto fund applications at the SEC. As Cointelegraph recently reported , nine issuers have filed for an XRP ( XRP ) ETF, with Franklin Templeton joining the race on March 11. Issuers are also vying to list ETFs linked to Solana ( SOL ), Litecoin ( LTC ) and Dogecoin ( DOGE ). Although the SEC has punted its decision on these offerings, opting to designate a longer period for review, Seyffart and fellow Bloomberg analyst Eric Balchinas say there are “relatively high odds of approval” later this year. A January report by JPMorgan said the approval of altcoin ETFs will likely trigger billions of dollars in inflows, underscoring the pent-up demand for cryptocurrencies. In particular, SOL and XRP products could attract the most institutional interest. Assuming modest adoption rates, SOL and XRP ETFs could attract billions in their first 12 months. Source: JPMorgan “When applying these so-called “adoption rates” to SOL and XRP, we see SOL attracting roughly $3 billion-$6 billion of net assets and XRP gathering $4 billion-$8 billion in net new assets,” the report said. Related: US Bitcoin ETF assets break $100 billion

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