Nasdaq submitted a 19b-4 submitting with the U.S. Securities and Alternate Fee (SEC) to approve the itemizing of a spot Avalanche exchange-traded fund (ETF) managed by Grayscale.
Grayscale already manages an Avalanche Belief that carries a 2.5% administration price. The submitting may result in a less expensive, extra versatile funding automobile with publicity to the AVAX token, and displays an trade development towards growing regulated automobiles for altcoin buying and selling. The SEC, nonetheless, has but to approve any spot altcoin ETFs past these providing publicity to ether (ETH).
If permitted, Grayscale’s fund would supply one other path for conventional traders to entry crypto property by means of typical brokerage accounts. The ETF’s custodian could be Coinbase Custody, in accordance tot he submitting.
The ETF would maintain AVAX instantly, monitoring the market value of the Avalanche community’s native token. The cryptocurrency is on the time of writing buying and selling at $20.5 after dropping 6.6% of its worth within the final 24 hours amid a wider market drawdown that has seen the broader CoinDesk 20 Index (CD20) drop by over 4%.
Different firms are additionally Avalanche. Earlier this month, VanEck filed an S-1 kind for an Avalanche ETF.
Final month, Grayscale additionally filed for a Cardano ETF, which might turn out to be the corporate’s first standalone ADA funding automobile.