ETF Issuers to Launch New Crypto-Centric Funds in 2025: Report

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Sujha Sundararajan

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Sujha Sundararajan

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Exchange-traded fund (ETF) companies are considering launching new crypto-focused funds in 2025, following crypto ETFs’ massive debut in 2024.

Bloomberg Intelligence analyst Athanasios Psarofagis noted that more filings from ETF purveyors will be made this year.

“This is the continued evolution of launches to incorporate crypto strategies into ETFs,” the analyst noted, referring to the wave of Bitcoin and Ethereum spot exchange-traded funds approved last year.

The US Securities and Exchange Commission (SEC) approved the first set of crypto ETFs – spot Bitcoin products – in January 2024. In July, the regulator gave the green light to multiple spot Ether ETFs.

Besides, cryptos have seen massive price increases in the recent past, thanks to Trump’s pro-crypto win. Bitcoin soared above $100,000 on December 5, after several factors perfectly aligned to drive the price up.

“It’s the hot thing — issuers love to strike when the theme is hot. We’ll see crypto everything,” analyst Psarofagis noted.

ETF Issuers’ Proposed Crypto-Centric Funds

Several crypto-based products were filed with the US SEC recently. Some funds were “potentially riskier” to attract more investors into the crypto space, Bloomberg reported.

For instance, ETF issuer ProShares proposed a fund denominating the S&P 500’s return in BTC. Further, Strive Asset Management and REX Shares proposed products that would invest in convertible bonds and derivatives.

Meanwhile, another ETF giant Volatility Shares files a Solana fund, alongside a vehicle that would track the token using futures contracts.

If the filings were approved by the regulator, 2025 would witness over a dozen crypto funds, the report added.

The filings arrive at a time when BlackRock’s iShares Bitcoin Trust (IBIT) product outperformed last year, making “the greatest launch in ETF history.” Additionally, MicroStrategy co-founder Michael Saylor also took advantage of the surging Bitcoin prices, purchasing the largest token for his company reserves.

“This is the evolution of the crypto ETF spectrum,” said Todd Sohn, exchange-traded fund strategist at Strategas. “Futures-based, spot, thematic, and now convertibles, both hyper-specific for MicroStrategy and whoever else gets involved in a similar capacity.”

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