Nasdaq submitted a 19b-4 submitting with the U.S. Securities and Trade 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 business pattern towards creating regulated autos for altcoin buying and selling. The SEC, nevertheless, has but to approve any spot altcoin ETFs past these providing publicity to ether (ETH).
If accredited, Grayscale’s fund would supply one other path for conventional buyers to entry crypto property via standard brokerage accounts. The ETF’s custodian could be Coinbase Custody, in accordance tot he submitting.
The ETF would maintain AVAX instantly, monitoring the market worth 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 corporations are additionally taking a look at Avalanche. Earlier this month, VanEck filed an S-1 type for an Avalanche ETF.
Final month, Grayscale additionally filed for a Cardano ETF, which might change into the corporate’s first standalone ADA funding automobile.