Hashdex Sets Stage For First US Index-Based Spot Bitcoin-Ether ETF

Key Takeaways

• Spot Bitcoin ETFs sparked excitement, leading to the launch of successful Ethereum ETFs.
• Hashdex aims to be the first US crypto index ETF.
• Hashdex’s new filing could open the door to a wider range of crypto ETFs.

The historic launches of Spot Bitcoin and Ethereum exchange-traded funds (ETFs) have marked a significant milestone in the cryptocurrency market’s evolution.

As investor sentiment and institutional interest grow, the door is now open for a new generation of digital asset investment products. Regulators are increasingly warming to the idea of crypto ETFs, setting the stage for a fresh wave of innovative offerings.

At the forefront of this trend is Hashdex, which has filed an S-1 form  with the US Securities and Exchange Commission (SEC) to introduce an ETF that will offer direct exposure to both spot Bitcoin and Ethereum.”

Hashdex Takes Aim at First US Crypto Index ETF

The application, filed on Wednesday, July 24, proposes establishing the first index-based crypto exchange-traded fund (ETF) in the United States. The filing follows Nasdaq’s recent Form 19b-4  submission, which paves the way for the listing of new ETFs.

The proposed ETF, the Hashdex Nasdaq Crypto Index US ETF, will be listed on Nasdaq and track the Nasdaq Crypto Index US methodology.

Coinbase Custody Trust Company, LLC, and BitGo Trust Company, Inc. have been appointed custodians to provide secure storage solutions for the ETF’s digital assets.

The filing comes on the heels of the recent introduction of Ethereum ETFs, which has expanded market acceptance for crypto-focused products. Notably, Hashdex had previously withdrawn its application  for a spot Ether ETF on May 24, just after the SEC approved eight similar products.

The Hashdex ETF plans to distribute its investments based on market capitalization, with Bitcoin accounting for 70.54% and Ethereum for 29.46% of its portfolio.

James Seyffart, an ETF analyst at Bloomberg, noted: 

“The firm can add other assets if and when approved by the US Securities and Exchange Commission (SEC).”

Crypto ETF Expansion on the Horizon

Hashdex’s new filing could open the door to a wider range of crypto ETFs. Nate Geraci, President of the ETF Store, predicts  the next crypto ETF will include Solana (SOL), although the current Hashdex ETF does not feature SOL, as it awaits SEC approval for a Solana-specific ETF.

Active discussions, such as those on Franklin Templeton’s X account, support this view. The asset manager has praised Solana’s high adoption rates and technological advancements, sparking speculation about a potential Solana ETF launch. Interestingly, two issuers, 21Shares and VanEck, have already submitted filings for spot Solana ETFs.

The SEC’s response to these applications will be pivotal, potentially establishing a precedent for the future of cryptocurrency investments within regulated financial markets.