Hashdex files for ETF Spot Dual Bitcoin and Ethereum

Crypto asset management firm Hashdex is filing to launch an ETF backed by spot holdings of Bitcoin and Ethereum, the two largest cryptocurrencies by market capitalization.

The US Hashdex Crypto Index ETF

Analysts discovered the product in a Nasdaq stock exchange Form 19b-4 filing on Tuesday, seeking permission from the Securities and Exchange Commission (SEC) to list shares of the US Hashdex Nasdaq Crypto Index ETF.

“The Trust’s assets will consist of bitcoins and ether,” the filing said. “In limited circumstances, the Trust will hold cash to meet its expenses.”

The ETF’s exposure to Bitcoin and Ethereum will be weighted by market capitalization. Using crypto prices as of May 27th, this would imply a 70.54% allocation to BTC and a 29.46% allocation to ETH.

“The Trust’s investments will not be used to seek a return that is a multiple or inverse multiple of the Trust’s index,” the filing clarified. Neither will any of the Ethereum holding the fund participate in trying to get yield.

The application follows the listing of Bitcoin spot ETFs in January and the SEC’s recent confirmation that Ethereum spot ETFs will go live this summer.

Unlike other crypto ETFs, the fund also intends to use multiple custodians for its assets, including Coinbase and BitGo.

Could HashDex Include More Cryptos?

The approval of Bitcoin and Ethereum ETFs has opened investors’ minds to the possibility of a flurry of other cryptos receiving approval, including memecoins like Dogecoin and BONK.

While Hashdex’s filing said it “would not invest in any other specific crypto assets besides bitcoin and ether,” some of its language left room to include other cryptos if approved by regulators as commodities, rather than securities.

The final deadline for the SEC to approve or deny the product will be March 2025.

“It shouldn’t be a surprise to anyone, it makes perfect sense,” said Bloomberg ETF analyst James Seyffart on the app. “Bringing something like this to the United States makes perfect sense as a future goal.”

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