hashdex extends Bitcoin ETF by seven old coins: New opportunities in the cryptocurrency market

<p> <strong> hashdex extends Bitcoin ETF by seven old coins: New opportunities in the cryptocurrency market </strong> </p>

hashdex plans to extend his Bitcoin and ether index-ETFS

In February 2023, the asset manager Hashdex launched a listed cryptocurrency index fund (ETF), which is currently only invested in Bitcoin and Ether. However, according to an revised S-1 application submitted on March 14th

planned old coins for the index ETF

The new application suggests adding the following old coins in the index ETF: Solana, XRP, Cardano, Chainlink, Avalanche, Litecoin and Uniswap. By March 17, 2023, the Hashdex Nasdaq Crypto Index US ETF only kept Bitcoin and Ether.

Before that, earlier versions of the S-1 application indicated that there is an opportunity to add further cryptocurrencies in the future; However, there were no concrete mentions. The proposed old coins are considered a decentralized peer-to-peer computer systems, which are secured by public key cryptography and the value of which is primarily determined by supply and demand.

focus on regulatory developments

The revised submission shows that access to Crypto products from ETF emitters is promoted faster, especially after former US President Donald Trump has asked the federal authorities to take a forgiving attitude when regulating digital assets. In the course of these adjustments, the ETF plans to change its reference index from the currently used Nasdaq Crypto Us Index, which only depicts Bitcoin and ether, to the more comprehensive Nasdaq Crypto Index.

The time frame for the implementation of these changes has not been specified, since the US value paper and stock exchange supervisory authority (SEC) must first approved the proposed changes.

permits and developments in the crypto-ETF market

In December 2022, the SEC already granted the green light for the Bitcoin and Ether index ETFs from Hashdex and Franklin Templeton, which went to the stock exchange in February 2023 and initially recorded moderate inflows. These two ETFs are the first in the USA that investors offer a diversified crypto index from a single source.

In addition, the asset manager Grayscale has applied to convert his Grayscale Digital Large Cap Fund into an ETF. This fund, which was launched in 2018, holds a diverse crypto index portfolio, which includes Bitcoin, Ether, Solana and XRP.

Future prospects for crypto index ETFs

industry analysts agree that crypto index ETFs will become the next big focus for issuers, especially after ETFs have been on the stock exchange with Bitcoin and Ether in recent years. Katalin Tischhauser, head of the Investment Research at the Krypto-Bank Sygnum, explains: "The next logical step is index ETFs because indices are efficient for investors-similar to the purchase of the S&P 500 in an ETF. This will be the same with Krypto."

In February 2023, the SEC also confirmed more than a dozen registrations in connection with cryptocurrency ETFs, including rules on topics such as staking, options and returns in the form of benefits in kind, which is a further step in the development of the market for crypto ETFs.